Loan for Repayment of Debt

A frequent question is whether payday loans can help pay off other credit obligations? A lot of people who have financial problems, even momentary, try to save their situation in every possible way and, therefore, borrow money to pay off other loans. This is a harmful solution. What dangers are there for borrowers?

What are payday loans and how are they granted?

What are payday loans and how are they granted?

Short-timers are relatively small loans, up to PLN 1,600, granted quickly and as an ID card. Getting such a loan is usually not difficult, repayment may be more difficult. Cash earned can offset financial problems for a month or two, but sometimes it can be a heavy burden, for longer.

Employers of payday debts often only verify database, without the need for the customer to submit earnings certificates. That’s why it’s so easy to get a break. Without unnecessary formalities, obtaining it is only 15 minutes, but not everyone is doing well.

What to spend the moment for?

The received payment time can be used primarily for:

  • necessary shopping,
  • repairs and repairs,
  • the most important, current bills,
  • family events, e.g. weddings, communions,
  • presents,
  • other.

The possibilities to use a payday could be exchanged for a very long time, but it is more important to get them out of it.

What is better not to take a minute?

What is better not to take a minute?

Waivers should not be enlisted on:

  • repayment of other bank loans taken out,
  • payday refunds.

This is the worst possible reason for borrowing. They make repayment much harder than it was at the beginning. If you do not have money, for example 500 zlotys, to pay a bank loan, then taking a break should not even be considered. This is due to the fact that payday loans are associated with high costs:

  • calls for payment (reminders),
  • percentage,
  • extensions
  • recovery.

What to do during repayment problems?

What to do during repayment problems?

If you have a problem with repaying the loan and related installments, you can do one of the following:

  • to borrow money from a loved one,
  • to borrow money on a social network,
  • selling your own goods, e.g. a car, real estate or converting them to cheaper ones,
  • taking a cash loan in the bank, which is a lesser burden,
  • an agreement with the bank regarding changes to the terms of the loan, e.g. a larger number of installments or their deferment.
  • use as a last resort one of the free loans

It is worth taking into account the above recommendations, because even when reading online forums on loans, it is easy to notice that taking short-term payments on previous liabilities, you can fall into the so-called. spiral of debt. Usually, the borrower goes to the point where he can neither pay off the debit nor a bank loan. Debt is increasing at an increasing pace. Included are interest, prompts, and debt recovery requests, which can reach as much as PLN 200 per one minute, every month. If you have a loan in several companies, the debt is even higher.

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