It is never a pleasant experience to be indebted to someone in your life, be it an individual or a firm. Most Canadians never wish to borrow money for any of their personal as well as professional needs. They always try to lead a life of financial austerity and to stay within their financial potential. This prevents them from purchasing all the products and services that they wish to purchase in their lives. Obviously, life is not fair, and some of us do have very limited growth opportunities in our lives.
Unfortunately though, not everyone among us is able to use good judgement while making their financial decisions. Some of these people are forced to look for loans to fulfil their emergency expenses. Now, this is something that is to be understood and taken as an integral part of our lives. This is due to the unexpected arrival of emergency situations and unexpected severity of those occasions. No one can be always ready for all these occasions. Banks and credit card companies are the major providers of loans to these people.
As of now, wages are stagnant, housing costs are going up, and many Canadians in need are opting for payday loans to fulfil their emergency needs. This way, they can gain money to pay for their needs until the very next two weeks or until the very next pay day. Of course, the lenders of these loans do charge a very high rate of interest that can be as high as 23% of the loan amount for every two week of time. This is okay during a time of emergency. But, is that what is happening right now?
Many youngsters are using these kinds of loans for non-emergency needs like paying routine utility bills, grocery purchase etc. Now, this is never a good idea. Soon, these people are likely to find it unable to pay the loan amount and the high charges back. It would be a lot better on the part of these people to use these loans sparingly and only for their emergency needs.
Once you make up your mind to get a payday loan, how should you go ahead with the task at hand? Make sure you approach a reliable payday loan lender who is unlikely to overcharge you beyond what you have agreed while signing up for getting the loan. How can you gain an understanding about the payday loan lender? For a starting, you should use licensed payday lenders only. As per the law of the land, these payday loan providers are supposed to get a license from the appropriate authorities. If you make sure that your loan provider is licensed with the local authorities, then you can avoid any unexpected surprises later.
You can usually check whether a company is licensed by simply going to their web page. For example, if you visit Instant Payday Canada you can see at the bottom of their web page that they are licensed in BC, Saskatchewan, and Ontario. Don’t stop there, though: anyone can put some numbers on a web page. The next thing you should do is check with the governmental agency responsible for regulating payday lenders and confirm that their license is in good standing.
If you are borrowing in Saskatchewan, consult the Saskatchewan Financial Services Commission. In British Columbia, consult Consumer Protection BC. In Ontario, you need to talk to the Ontario Ministry of Consumer Services.
