Think you might fall short this month? When your last pay cheque isn’t enough to get you through the month, getting cash fast in NZ can be tricky. At Pretty Penny Loans, we work with a lot of borrowers that need a quick injection of funds to pay for urgent expenses. We understand just how stressful it can be when the balances don’t add up and money is really tight.
In this article, we’re pointing out the most common mistakes that people tend to make when they’re in this situation. Have a look through this overview to see if you’re thinking about making one or two of these blunders.
Let’s start with:
Selling your stuff in a rush
It’s quick and easy to sell stuff online now with the wealth of online marketplaces we can all gain access to at anytime. The problem is, selling things fast often means selling them for less than they are worth. This can be especially true if you take your most valuable items to a pawn shop or some other form of quick sale dealer. In some cases, the money you lose in taking such drastic action is heartbreaking. It’s a good idea to consider the costs of borrowing a short-term loan or perhaps delaying payments on other services before resorting straight to selling your most loved possessions.
Not sticking to a budget
The more tight money gets, the more important it is to watch every penny closely. Make a digital or physical sheet where you list as many expenses as you can think of. Tally them up and see how this balances up with your income. Spending nearly as much as you earn? Then you need a tighter monthly budget. Go down your expenses list and try to cut as many items as you can.
You might be amazed how much you’d save by lowering your immediate costs. Think about buying cheaper food, unsubscribing from services you don’t need, and definitely stay away from luxury items of any kind.
Using unplanned overdrafts to pay for goods
Planned overdrafts tend to cost around the same amounts as most credit cards. Unplanned overdrafts come with even higher fees that make them one of the most expensive ways you could possibly borrow money. It’s easy and very accessible because it’s an account you already use, but in most cases the charges are applied per day! If you don’t intend to pay back into the account for weeks, the debt you’ll mount up will be staggering.
Borrowing money from friends
This is very common for people that are really desperate. The best people to borrow from are usually those who will continue to care for you unconditionally, this usually means family. Your relationship with friends is far more fragile, and money can have a strange way of putting terrible amounts of strain on your bonds with others. Just the act of asking to borrow is often perceived as an almost rude thing to do. Taking loans from professionals is always a more practical idea because you’re keeping your financial affairs to yourself and handling the situation without the feeling of dragging others into it.
Believing that fixed costs exist
There’s no such thing as a completely fixed cost. If you’re just about able to pay the rent and make ends meet, consider downsizing. Registered with any premium television services? Cancel them until you can pay for them without a sweat. Not all personal purchases are bad, but if you don’t need something in order to survive right now, they can be put off until you’re sure you can afford them more comfortably.
Those are the most common mistakes that people can tend to make when they need cash fast. Looking for rapid funding options? A quick payday loan could be the fastest way to access cash from a reliable and professional source. At Pretty Penny, we offer a system that is able to pay out within 24 hours of your application. All you need is your recent bank statements and your ID. The application process can be completed online 24/7 or our friendly team is ready to help if you’d prefer to apply by phone.
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Read more about fast cash loans here, or in our previous blog post: Best Options For An Easy Loan With No Credit Check NZ