It is always a good idea to make sure that you think carefully about any financial decision that you make. You will find that there are a lot of questions that you need to ask yourself and one of these things is about whether there are any alternatives. The reason for thinking about this is because you need to make sure that you are making the very best decision for you and your finances. Therefore, it is wise to think about everything that you might be able to do to help your situation and then you will know that you have made the right decision.
Not Buy the Item
It is good to start by considering whether you really need the item that you are considering buying. It might be that it is something that you urgently need, perhaps food because you have none or you need to pay a bill. However, people do borrow for all sorts of reasons and so if you can go without the item, then perhaps it is worth going without the loan. It is good to think about whether it is something that you really need or whether you will be able to go without it and still manage fine.
If you have savings then it can be best to use these to repay a loan. This is because the savings will earn very little interest but the loan will cost you money. You can always use the money that would have repaid the loan with to replace the money in your savings account anyway. It is understandable that you might be reluctant to use your savings but it can be a lot cheaper. If you are saving up for something specific it might feel hard having to use some or all of that money. If you have worked hard to save then it may feel hard too. However, you need to remember that it could make a significant difference and if you are savings for a rainy day or an emergency, this is the time to use the money.
If you can wait a while until you get the money and save some up each month, then this will be cheaper than borrowing. Loans can be expensive and so you do want to try to avoid paying for one if you have to and so this could be a good way to do it. Of course, it is very likely, that if you are considering urgent loans, that you will not be able to wait.
If you do not have the money, have no time to save up and have no savings to use for it, then you only option is to borrow the money. This is an option which may not be cheap but it will be helpful. If you need the money really quickly, then there will only be certain loans that will be helpful to you. Many take too long to arrange or are not suitable for buying anything you wish. Your main options will be a credit card, overdraft or urgent loan. The first two will only work if you have already arranged them and you will normally need to have a good credit record in order to do this. Therefore, you may need to look at the option of an urgent loan which could provide you with enough money to help you out. You can borrow up to a thousand pounds normally, depending on the lender and you will be able to have the money until you next get paid, when you will be expected to repay it in full.