Payday loans or sometimes termed as salary loans often have high interest rates and is required to paid within a very short period. It is essential that you go review other kinds of loan which may offer you a lower interest rate and an affordable payment plan.
Make sure you check and compare these loan offers before you make a decision of taking on a payday loan singapore. When you compare loan lenders and loan offers, make sure you gather as much information you can get. It is also important that you read about reviews or feedback from previous clients.
Here are a few things to keep in mind when taking on a payday loan.
- Look for an offer with the lowest interest rate. You can review these online and should be visible in the licensed moneylenders website. Make sure you know the Annual Percentage Rate (APR), finance charges, and other fees involved in the loan. This will help you have an idea of what to expect when repaying a loan. If you are unable to find the information you need online, call or visit the lender. This will help establish credibility of the lender on your part.
- Consider a loan offer that gives you a longer repayment term. This may allow you to shell out smaller fees to be paid monthly by spreading out the entire debt instead of repaying the debt in one full payment. Make sure you avoid making another loan during the loan repayment period. Getting another loan may cause you to mismanage your debt and expenses can swell beyond what you can handle.
- Create a budget that would help you avoiding loans month after month. This only makes your debt bigger and expenses harder to manage. A budget should help you spend within your means and manage your income properly.
- Make sure you get in touch with your creditors in case you start having a hard time repaying your loan. Most creditors would be willing to help extend your loan especially when they believe that you are acting on good faith. They may be willing to work out an agreement of repaying the loans with a financial charge or change in interest rate.