The Evils of Payday Loans

Payday loans are always a hot topic for our blog. It’s always good to

find a well-written article on this topic and I think I found a great

one here:

http://www.deseretnews.com/article/765584241/Debt-trap-Breaking-free-from-the-cycle-of-payday-loans.html?pg=all

The article does a great job of discussing the cycle of debt and how

payday loans become a trap with new loans being taken out every two

weeks, just to try to keep up. But eventually, this plan fails. So

what do you do when it fails? This article points out that it is

actually cheaper to take cash out on your credit card! Of course, we

never recommend taking on more debt to get out of debt. But it is

alarming that even a credit card cash draw is cheaper in the end than

a payday loan. The article concludes that the best way to get out of

this debt spiral is to become financially literate. We agree that

taking hold of your finances is important. If you are too overwhelmed

by your unsecured debts, seek the assistance of an attorney to help

guide you through this process. I think in the end, you will agree

that it’s the best thing you could have done.