Tips to Help You Pay Off Your Payday Loans on Time
Many borrowers take payday loans to pay their unexpected bills, medical emergencies, car repairs, and more. No matter what you have taken a payday loan for, but it has to be repaid at the end of the month or by your next pay date. However, at times, you cannot afford to repay your payday loans on time. In such cases, check out the tips below for paying off your payday loans on time.
1. Talk to Your Payday Lender
It is better to talk to your payday lender and explain why you cannot repay your payday loans on time. If your lender has a hardship program, they will extend the time you have to repay your loan and reduce the payment amount.
2. Enter an Extended Payment Plan
Ask your payday lender for an extended payment plan before the loan is due, which will break down your payday loan into smaller installment payments. An extended payment plan will provide you more time to repay your loan, and you do not need to pay additional interest or fees in the meantime. You will need to sign a new loan agreement with the terms of your extended payment plan.
3. Use Your Credit Card to Pay Your Loan
Using your credit card to pay your payday loan is a good idea, as it can break down the loan amount into smaller and manageable payments. You can consider getting a cash advance to repay your payday loan if you have the option available on your credit card.
4. Consolidate Your Payday Loans
You can take out a personal loan to consolidate your payday loans. A personal loan will help you manage your payments easily. There are a few options for taking a personal loan such as:
- Apply for a personal loan through your credit union or bank
- You can borrow the amount from your relative or friend and agree to back it pay within the time frame.
5. Consider Getting Small Loans from Credit Unions
Credit unions offer cheap and small loans. These loans will help you pay off your existing payday loan with an affordable payment plan. However, you have to be a member of a credit union for at least a month to get these loans.
6. Get Payday Loan Debt Assistance
Credit counseling programs and payday loan debt assistance can help you if you are struggling to repay your payday loans on time. Debt counseling team will check your financial situation thoroughly and suggest a payment plan to pay off your debts.
Follow these tips to pay off your payday loans on time and get your finances on track!