Payday Loans Look Set to Continue Rising In The Public Domain

Payday Loans are becoming an increasingly, and worryingly, popular option for those individuals who are struggling to make it through to their pay-day without financial help.

Spokeswoman for the Consumer Credit Counseling Service (CCCS), Una Farrell, has warned that there will be “a lot of people needing debt advice” in the foreseeable future if this trend continues.

Ms Farrell went on to say that many individuals opt for multiple  on top of their current accounts, rather than just one, which is a cause for concern as it can be difficult to manage several types of debt all at once.

With these types of loans, interest can build up very quickly, particularly if the person involved owes money to numerous bodies. This has led Ms Farrell to warn that it is important to keep on top of any outstanding debts that individuals may have.

Martin Bamford, chartered financial planner at Informed Choice, recently warned that taking the option of a payday loan must only be considered as a last resort after discounting everything else as they can be “ridiculously expensive”.

This advice has been brought about in the wake of the global economic downturn, which has left many Britons’  exhausted and with no other option but to opt for payday loans in order to sustain themselves against their outgoings.

However Mr Bramford has urged people to “exhaust every other supply of money in the short-term”, including asking to borrow from those around you, be they friends, work colleagues or family, before resorting to taking out a payday loan.

“It has got to make sense within your budget and live within your means so you avoid it ever happening again,” he went on to add.

One way that has been suggested to ward off the need to take out a payday loan has been to set up a .

By saving “a little and often” it has been suggested that individuals could manage to build up a substantial financial safety net, even on the tightest monthly budget. Which in the even of a financial emergency, will end up saving them more as there will be no rates to pay back on the money they spend from their savings.