Life is tough. Sometimes things happen that are out of our control. If you know what it’s like to sacrifice your bills for an emergency, you know what we’re talking about. Things like an unexpected repair or losing your job can deliver a blow to your finances. Unfortunately, our bills don’t understand when circumstances change, and they still need to be paid. From car expenses to rent, a payday advance in NZ can offer a quick solution where you least expect it.

What if things don’t look up as planned once you receive the loan and you know you might default on your repayment agreement? It’s not the end of the world. Legitimate lenders will understand that you may be in a predicament. In this blog, we offer a guideline on what you can do if you can’t afford to repay your short-term loan on time.

1. Review All Your Pre-Existing Debt

The first thing to do when you’re out of your depth with debts is to strategise. Sit down and jot down a list of all your debts, in order from the high-interest rate to the lowest. Prioritise the ones at the top of the list, because they accumulate faster than the others. Also, consider a debt consolidation method to pay off all your debt in one place.

2. Think About Taking On A Personal Loan To Settle The Payday Advance

One debt consolidation method to consider is the personal loan. You could take on a personal loan that covers the sum of all your loans and overdue bills. This way, you pay them all off, including the payday advance – then pay off the personal loan with a single interest rate that’s easier to manage.

3. Approach Your Lender To Negotiate An Extension

Responsible lenders always have a variety of repayment plans. Speak to yours about an extended plan to make sure you don’t miss the mark. This way you have more time to get your finances together and repay the loan fully.

4. Consult With A Financial Planner Or Debt Management Expert

If you feel like you’re drowning, there’s help out there. Find a financial expert you can trust to help you plan and strategise, based on your unique situation. You’ll thank yourself later.

We all need help at one point or another. Looking for a payday advance in NZ? Contact Cash Relief today.