I just want to let you know that all opinions are my own and I may earn from qualifying purchases. Regardless, I only recommend products or services I use personally and believe will be good for my readers. Enjoy and feel free to share with your friends!
Payday loans are often the only viable option if you are faced with a sudden financial exigency. It can be your messiah and it can help you cross that one humph that was obstructing your path.
However, before taking a payday loan, make sure that you have considered all the other financial alternatives that you have and you have thoroughly weighed all your options. You need to consider the plausible outcomes also. Analyze the situation carefully. 
Payday loan is one of the most common forms of personal loans in Canada. But, it is also one of the reasons why so many poor Canadians get sucked into huge debts. The initial interest or fees that you have to pay for a payday loan may not seem much but if you keep on defaulting on payment, you could end up paying interest rates as high as 200-400% and the worst part is that you won’t realize it till it’s too late. What are your other financial options? You could have more than one option if you act prudently and end tread with fiscal caution. If you understand the importance of saving and not wasting money, you will probably never have the need for borrowing money through a payday loan. This article will help you to know and properly explore your options. 1. Flex loans: Cachco Financial’s flex loans have multiple advantages over other types of loans and its competitors as well. A flex loan is a long term loan and so the rate of interest is much less than a payday loan. You can easily borrow up to $5000 and you will get up to 36 months to pay back the loan in full. A big benefit is that it allows you to consolidate all your loans into one loan which helps you to do away with much paperwork and also reduces the interest that you are paying. Cashco Financial, unlike some of its peers, helps you to improve your current credit score by regularly reporting it to a credit reporting agency on every successful monthly or periodic payment that you make on the loan. 2. Installment loans and term loans: Term loans and installment loans are similar to flex long-term loans. You get a long time horizon to settle the loan and the amount of each installment and the repayment schedule are decided as per the terms of the agreement between you and the lender. A term loan could vary from a few months to up to 30 or more years. The rate of interest could be fixed or of a floating type. However, the long time balances out the interest rate to some extent. 3. Take a cash advance loan: Sometimes, your credit card company may agree to extend a cash advance or a credit line. It eliminates the need for a fresh application and the loan gets sanctioned faster. However, the rates could be steep and you need to be careful. 4. Food banks: Canada has a growing number of food banks. If you feel that you don’t have enough money to pay off your utility bills or even afford food, you could contact a food bank which is a kind of charitable institution and it will give you food and other essentials like medicine and toiletry for free. But, think of it as a temporary measure. Things to remember when taking a payday loan 1. Read the fine print and decide whether you can repay the interest: Often, borrowers make the mistake of not reading the loan documents carefully. The client handling executive may not spell out everything clearly especially if he knows that the high rate could put you off. Read the document a few times and decide whether you can pay back the loan by the next payday. 2. Enquire carefully about the payment process: You have a right to know how you have to pay the loan. Sometimes, the lender may take your signature on a consent form without informing you that you are giving them your consent for automatic debit from your bank account. If you don’t feel comfortable, don’t consent to pre-authorized debit. Instead offer to pay by cheque. 3. Talk to your lender in case you can’t make the payment: If you think that you don’t have enough money to pay off your payday loan, the first thing you should do is visit the nearest store of your lender and inform them about the crisis. Act according to their directions. If you hide the fact and try to avoid them, sooner or later, they would initiate legal proceedings against you and you would be prosecuted.
