Payday Loan Alternatives

If you have an urgent situation and are in need of cash, there may seem like there is no other way than to take out a payday loan, especially if you have bad credit. However you should investigate other methods of obtaining the cash you need to prevent further financial problems caused by predatory payday lenders.

If the problem is money owed to a creditor or creditors, call them and ask for a payment extension. The vast majority of utility providers, cable television companies, Internet providers and telephone companies will give you extra time to pay if you need it. Even your credit cards may be able to be extended until you can pay.

Along with requesting extensions for bills that are due, you can raise money in a variety of different ways including working overtime if at all possible. Many employers do offer overtime to their employees so be sure to ask.

There are also a variety of jobs on the side you can take on. You may want to work a few hours each night somewhere other than your full-time job. It is also possible to turn your hobbies into cash. For example if you are a painter, knitter, woodworker or gardener you could take your hobby and make it a part-time business. Maybe you don’t have a hobby that can make quick cash, or the ability to work overtime or take on a second job.

In that case, you may want to ask your employer for the funds.  Some employers do offer pay advances to their employees, then take out a certain amount from each check to cover the advance. Speak to Human Resources if this is something you are interested in.

As a last-ditch effort you could borrow the money you need from friends or family, assuming a bank or credit union will not grant you a personal loan because of your bad credit. You may also want to consider pawning or selling some of your valuable items. Fine jewelry, antiques and electronics are items that can be sold for quick money.

It’s recommended you explore all your available options before turning to a payday lender for a loan with an extremely high interest rate.