Help with uk payday loan debt

Advice

Published on | by Steven Taylor

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How bad money management gets you to ‘cant pay payday loan’!

Are you wondering why online direct payday loan lenders are the only money options at your disposal recently? What brought you to the point where alternative high interest cash is both helpful and hurtful to your budget? If you can afford the fees involved in paying any type of short-term loan, why is it you cannot afford to take care of your own money emergencies without them?

Before you can refrain from using direct online payday lenders for monthly money help, it is important to identify the cause. What is troubling in your financial portfolio?

*What is your payment history? 35% of your credit score is calculated based on ‘on-time’ payments, no bankruptcies or delinquent accounts. This is all on you. Money management is key to successful finances. When this happens, alternative moneys are not needed.

*How much debt do you carry? 30% is your credit utilization rate. How much of your credit limits have you maxed out? Maxed cards will steer you towards fast cash from direct payday lender loans. You have to control your debt in order to have future debt options. Confusing, but meaningful.

*How long is your credit history? Some people feel that cancelling credit accounts will help them manage debt. What it does do is interfere with the longevity of what is being measured. Keep your cards open and use them every now and them with a big payoff in full each time. It doesn’t have to be much, a tank of gas, trip to the grocery store of a dinner out. This works best for expenses which are already calculated into the budget. Make sure to pay it off on time and rotate to another card the following month. This keeps your credit current and gives you points for great management.

*What types of credit do you have? You need more than revolving accounts (credit cards) for the next 10% of your score. Try to have an installment loan showing on your credit in order to boost your score. Installment payday loans do not count, direct payday lenders online do not report debt to credit bureaus.

*The rest of your credit score looks at new credit whether it is for a home loan, car loan or even a student loan. Hard inquiries, especially with credit cards will pull a point or two off your score to recover 6 months to a year later. How you manage this type of new credit need is also watched. Make too many inquiries for new credit lines will make you look desperate. With direct no credit check payday loan lenders helping you out, this 10% part of your credit score will be protected.

Money management looks like it should be simple, but we all know that day to day life and those unexpected surprise costs can often tilt a budget in the wrong direction. If we keep our credit card balances low then there is a chance you may never need a payday direct lender. Pay close attention to your credit history by using the free credit reports offered to you by the credit bureaus; one free report for each bureau every 12 months. Keep track of your finances year round to help prevent unnecessary problems.

Guest Author: Holly Petherbridge

If your debt is over a certain level, another invaluable source of payday loan help may be open to you. If you are really struggling with payday loan debt, a debt management company can transform your situation. A good debt management company will charge no upfront fee, and will contact the company your payday loan debt is owed to on your behalf.  This is a link to the only one I personally know of that ticks all those boxes. With experience of dealing with these companies and expert knowledge of regulations and rights, they can halt all threats and unnecessary contact, and help create a much more manageable situation in which you will finally be able to successfully pay back your loan.

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