Currently in today’s society, the younger generation are increasingly finding themselves in all sorts of debts whilst at the same time finding it hard in regards to working their way up the property ladder. However, with payday loans becoming more popular with the nation, we are beginning see how effective and simple they are in regards to helping you in those tight and demanding situations, thus getting yourself back on the straight and narrow. With everything becoming expensive in our society, we are finding ourselves frequently out of pocket, yet with the option of a payday loan; it give us something to rely on whilst implementing a structured and safe payment plan with the payday loan company you are using.
Payday lending is pretty simple and caters for all ages. If you find yourself struggling and is in urgent need for short-term cash, payday lenders are a very effective way to support you in these difficult situations. With a number of regulations and caps implemented by the FCA, unfair lending is no longer a problem, and responsible lenders will only approve applications of those who can genuinely afford to pay it back. The idea of a payday loan is to help out those who are in a financial emergency, and while they should always be a priority to pay back due to the fees on late repayments and high interest rates, they truly can provide a helping hand for those who need them most. Numerous times throughout our lives, something unexpected will occur forcing us to pay out a significant amount of fees making our financial schedules sway out of the expected. Some may turn to relatives or families but in the long term this could affect your relationship with them, so by turning to short-term loans can be an efficient and secure way to pay off those bills.
The property ladder
Because rent prices are increasing far beyond the amount we take from our wages, a juxtaposition is surfacing were we are forced into spending 50% or more of our wages towards our rent. This can lead to many beginning to feel rather stressed due to the lack of funds. While some may turn to the bank, some might be turned away, and this can have a negative effect on a person’s credit score, making it even harder to borrow money in the future. It’s proving rather difficult for the younger generation in regards to getting themselves on the property ladder. Mortgage payments are becoming too high and are crippling this younger generation. The reason why it’s called a property ladder is due to the fact not all of us buy a property and stay there forever, many of us buy a starter home and build equity and then move onto a larger property. However, how can we build this equity if the money we are bringing in doesn’t cover half of our outgoings?
Knowing that payday companies exist and are willing to help presents a short term solution but the young people will have to learn how they can prioritise their finances, as to not be depending on payday loans and gradually build up their finances. It is important to remember that payday loans should never be relied on, and should only be used as a short-term solution for a financial emergency, but they are a good option for those who are in need of emergency funding that they would not be able to receive from the bank. In addition to this, you may be able to get an instalment loan which helps you to manage the money that you pay back as and when you need it. The media attention to payday loans is negative, but with tighter regulations implemented by the FCA, you will find that payday lenders offer a great sense of security for those who need it most.
Generic advice is not a service regulated by the Financial Conduct Authority.