Short Term Loans: Making Them Work

Whether you've recently suffered a job loss or are simply finding it hard to keep up on bills, there never seems to be enough money floating around. However, just because your bank account is painfully empty doesn't mean you need to stop enjoying your life, or rebuilding your finances. If you're considering a payday advance to cover any type of expense, here are a few scenarios when it's a great idea, and others when you should consider an alternative:

Scenario #1 – All I Want For Christmas Is Some Extra Cash

It's nearing Christmas and unfortunately, you're afraid your financial constraints might mean Santa won't be as generous this year. However, before you sign the dotted line, grab your cash and head to the nearest mall, rethink your decision to take out a short term loan for Christmas.

Instead, look for clever ways to save money while showing your kids, friends and family you really care. For example, Bankrate recommends spending your time volunteering, rather than fretting over where you'll get the extra cash for gifts.

Here are a few ways you can still have a Merry Christmas without going into serious debt:

• Create A Budget – Take a hard look at your finances and be realistic about what you can afford. For example, if you have to cut down on the amount of money you spend on friends and family in order to give your kids a better Christmas, this might be a solution that works for you.

• Start Inexpensive New Traditions – Don't waste money on flashy new decorations or pricey dinner parties and instead, start a few frugal traditions. For example, create homemade decorations with your kids or host a potluck dinner on Christmas.

• Exercise Your DIY Muscle – Instead of giving your loved ones impersonal gifts, provide them with presents made with your own two hands. For example, if you love to knit, give everyone on your list a pair of mittens, pot holders or a scarf!

Going into debt to pay for Christmas might satisfy your parental guilt in the short term, but you'll actually be doing your kids a disservice. Instead, show them that you can still have a great Christmas while sticking to a budget, which ultimately, is the best gift you can give.

Scenario #2 – I Didn't Know My Car Could Make That Noise

For many adults, their vehicle is a prized possession, that is until it decides to stop running five minutes before you should leave for work.

Once you finally get your car towed to your trusted mechanic, you're not surprised when it requires a costly repair you simply cannot cover. When it comes to getting your vehicle back on the road, a payday loan could be the solution for this emergency.

If you don't have stellar credit or a benevolent family member to ask for the cash, a payday loan from a place like Payday Express is the simplest, quickest answer. In many cases, the application process only takes a few minutes, and if approved, you can get your money that same day!

Remember, the faster you get the cash you need, the faster you can get your car repaired and back on the road.

Scenario #3 – My Credit Could Use a Little Boost

From marriage to purchasing a house, in most instances in life, a huge risk is necessary to obtain a big reward. If you're planning for your future, but your credit won't allow you to reach your goals, securing a payday loan can be just what you need to give your score a boost.

Not only is it much easier to secure a payday loan if you have less-than-perfect credit, the short term nature of these transactions can give your credit the boost it needs – but only if you keep up on your payments.

A short term loan matures much more quickly than traditional loans, meaning that if you pay it off within a few weeks or months, the positive impact on your credit will occur right away!

However, don't go overboard and secure a short term loan you cannot afford to pay back. Instead, remain sensible and use the money to pay off some old debts or consolidate your loans – both of which will also strengthen your credit score!

Securing a payday loan is a fast, simple process – but think twice before borrowing more than you can afford, or for reasons that won't benefit you financially. Instead, use these funds thoughtfully and most importantly, keep up on your payments to help build or rebuild your credit!