If your finances are a little unstable, Christmas can provide a major headache. It’s a time of year when we all spend a little extra on food, drinks, gifts and parties, which can easily push you into the red. So what can you do to avoid monetary misery in the New Year?

One potential solution is to take out a payday loan. Whilst increasing your debt and paying up to 30% interest for the privilege might appear to be fuzzy thinking of the worst kind, it can actually help to steer you clear of far worse financial perils.

For instance, what if you were to miss a few bill payments or even find yourself unable to cover your mortgage/rent in December. Just because it is Christmas, you shouldn’t expect any gifts from your creditors. Failure to meet payments or finding yourself overdrawn will result in charges and could also impact your ability to get loans, credit cards or overdraft extensions in the future. So if you’re prioritising presents over bills, you should definitely reconsider.

If you know that you will be spending more this Christmas than your finances can stretch to, make sure you take affirmative action and don’t allow debt to consume your life.

Avoid missing payments

Payday loans are a quick solution and for many people, they also provide the only viable alternative to conventional forms of borrowing. Because you can have the money delivered directly to your account within hours, they are also exceptionally useful for when you find yourself in the tightest of spots. So perhaps you’ve been out shopping for Christmas presents, spent a little more than expected and remembered that you have a direct debit leaving your account the next morning. Now unless you have the cash available and can reach a bank on time, ordinarily you would just have to accept the consequences of missing the payment.

As previously mentioned though, these consequences can be pretty severe, particularly where automated bank payments are concerned. You will face at least one fine from your bank, possibly even two if you become overdrawn as a consequence of the first charge, and the intended recipient of this money may also apply an administrative fee for the late payment. Essentially it can all get very expensive, very quickly.

Now if you were to apply for a payday loan before on the evening before the payment was due, then you wouldn’t need to worry. Assuming that you choose a company that can guarantee same day payments, the money should be in your account awaiting collection when the time comes. Whilst you will have to factor in the cost of interest and any other associated costs, this is still a far better option than allowing your account to go into arrears and accepting the damage that this will do to your credit rating.

Bridge Costs into January

Of course there is also a more frivolous side to spending over the Christmas holidays. With parties, presents and other goodies to purchase, it’s easy to see why many find themselves in a financial conundrum by the end of December. So if you know that you can afford to bridge your costs into the New Year, then a payday loan might well provide the simplest opportunity to do so. Again, costs have to be factored in, so you should never apply for a loan lightly, but if you have spent more than you expected and still have more to pay for this Christmas, a payday loan might be the best option.

Vincent Rogers is a freelance writer who writes for a number of finance businesses. For Payday Loans, he recommends Payday Power.

Vincent Rogers is a finance writer who writes for a number of finance businesses. For payday loans, he recommends http://www.paydaypower.co.uk

Author Bio: Vincent Rogers is a freelance writer who writes for a number of finance businesses. For Payday Loans, he recommends Payday Power.

Category: Finances
Keywords: Payday Loans, Payday, Loan, Loans, Short Term Loans, Finance, UK