Can you stop the cash advance cycle?

Having to wait until payday to get the things you need isn’t always easy. For some, the need to get money fast leads them to seek out a payday loan or cash advance. With very few exceptions, people who take out one of these will get caught in a vicious cycle. Every payday, there’s a need to get a new loan or re-up the one that’s already taken out. 

Oftentimes, the cash advance or payday loan is given to someone who’s a high credit risk. This means that they may be unable to turn to traditional loan sources for help. Because of this, the higher interest and almost predatory level loans are their only option. 

When you get stuck in this cycle, you need to find a way out. One of the options that you have is to file for bankruptcy. In order to do this, you need to seek credit counseling. This may unearth a way that you can get these loans paid off; however, there is a chance that you won’t be able to address all of your financial struggles. Your credit counselor will be able to help you determine if there is a viable option for your finances.

If you find that you just don’t have enough money to deal with your bills, bankruptcy might be your most appropriate answer. If you want to explore this option, think carefully about how it will be able to help you. Things might be financially strapped for a bit while your case moves through the bankruptcy court; however, you’ll likely come out of the case financially empowered and ready to live your life with a better financial plan.