Debt experts are suggesting that payday loans are the primary cause for lower income consumers facing mounting debts.
Due to the inflexibility of some mainstream lenders, most notably banks as a result of the UK economic recession, people on low incomes are having to turn to payday loans to help ease “their financial burdens.”
In many cases short term loans such as payday loans and doorstep loans can help to illeviate the financial pressure on British people. However, those on low incomes are urged to be cautious when opting for a quick, short term solution to brige the gap until payday.
One debt expert commented:
“If the problem is unsecured debt that has become unmanageable then it’s important that people who are struggling to meet their repayments seek help.”
He added that people on low incomes should look into what state benefits they could be entitled to, it could mean the difference between mounting debt and the ability to face those monthly costs until payday.
Should payday loan debt get out of control consumers are urged to consider debt management plans to help ease the debt by consolidating the debt so the consumer repays the amount in easy, manageable chunks.
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