One of the most important things you should safeguard in your working career is your credit record. Your credit history helps lenders determine if you are a good risk for hire purchase, business borrowings, mortgages and other types of loan.
You earn a good credit record by taking out a loan and repaying the money on time. You earn a bad credit record by failing to repay it when the repayment is due. This is called defaulting on a loan.
A payday loan is designed to help you out between paydays when you are caught short with an unexpected expense. It is not intended to be a loan product of last resort. At SMARTCASH we do not believe that payday lenders should be in the business of ‘bad credit loans’. You should not be taking out a payday loan because no one else will lend you money.
You take out a payday loan because it gives you access to small amounts of cash much faster than other types of loans, and you pay a higher rate of interest accordingly.
If you find yourself continually struggling to meet basic ongoing household expenses between paydays you may benefit from seeking budgeting advice. Such services are freely provided by
familybudgeting.org.nz
Citizen’s Advice Bureau
sorted.org.nz