Are you feeling trapped by payday loans? This feeling can be one of a loss of control over your finances. If this is happening to you then you may have no idea what options you have to move forward. People across Canada look for ways to get out of their payday debt trap and stop the cycle of taking out payday loans. However, the good news is that this means that you are not alone in your fight to stop using payday loans. Here are some options that you have in order to get yourself out of stressful payday situations.
Ask For Help
It can be very difficult to ask for help when you need it, but once you do it is almost guaranteed that you will feel better. There are many payday loan counseling centers in Canada whose sole purpose is to help you know what your options are when it comes to paying back your payday loan. You can contact one of these counseling centers via email, phone and sometimes even an anonymous online chat. This way you can ask expert advisors there any questions that you may have about getting rid of your payday loan debt, as well as any other pertinent information when it comes to dealing with this specific kind of debt. You can even choose to make an appointment with an accredited debt counselor to help you with your situation.
Ways to Deal with Your Debt
A few options that are worth considering when it comes to getting rid of your debt include a debt management program. Another option is to create a manageable budget for your finances, which can in fact allow you to qualify for a consolidation loan. As a last result you can also look at the debt relief options that you have from the Bankruptcy and Insolvency Act.
Create a Plan
Look into the options you have in order to consolidate your Canadian payday debts and loans into a single monthly payment that is more affordable and will allow you to get out of debt quicker. This may allow you to avoid bankruptcy and save thousands of dollars in interest. A majority of payday lenders have the option of setting up a payment plan after you’ve re-loaned several times. It is a good idea to find out the exact requirements of your specific payday lender for setting up a plan. Know exactly how long the plan will take in order to pay off the loan and how long the payment plan will cost over your loan’s life.
Defending Payday Loans
Despite all of this, payday loans aren’t all bad. In fact, there’s a time and a place where payday loans can be of great benefit. For instance, taking out a payday loan can be cheaper than dealing with overdraft protection and bounced check fees, and it can be the easiest and quickest way for people to obtain money when they are in need. If you are in a financial pinch then a payday loan can get you through it, as long as you are extremely careful. For instance, if your car breaks down and you have no way to pay to fix it then taking out a payday loan for an expense that’s between $100 and $1000 can cover the costs of repair before your next paycheck.