Payday advances and saving money

saving moneyOf course, everyone grows up with the goal of being financially secure in their lifestyle. However, a lot of times somewhere along the road there is a fork that throws many people off of the successful path and onto a path that is much harder to deal with. While this may seem like the perfect solution is simply waiting for you on the other path it is just not a simple task to get there in real life, which makes it very hard to get back onto the solid and stable financial path for most people. Yet if you are careful and take your time to really start analyzing all of the fees and charges that you can rack up in your normal financial lifetime you can see how things can get very expensive quite quickly, and on a much larger scale than simply paying $15 or so dollars for each $100 that you borrow from a payday cash advance loan. We are going to take a nice long look at all of the scenarios that are available, well we shall actually take a look at just a few examples because to look at everything would be completely overwhelming and quite unreasonable. Looking at a few distinct examples should give you a very clear image of several areas in your life that need a bit of work to help you whip your bills and overall finances into shape and it just might help you save enough money to avoid a cash advance or two. At the very least help you gain a good perspective on the costs of the advance.

While payday advance protesters claim that the rate of interest on payday loans are too high many consumers do not really realize that each time a utility bill is not paid immediately on time it racks up a late fee. These fees generally range quite heavily, however the range of anywhere from 1% to as much as 5% is typical. Of course, this certainly does not sound like much but if you consider that each time you are late with your power bill for example you are assessed a 3.5% late fee and your bill is typically $100 you are looking at an additional $3.50 each month on your power bill. Over the course of a year, you are spending an additional $42 just on this one bill.

Another example of wasted money is if you decided to use the ATM each week to withdraw cash from your bank. We shall assume for this example that you did not do your homework and find a free ATM that you can use, instead you are spending out $2.75 each week in ATM fees, which is a good average cost that people are paying, over the course of a year you are looking at an astonishing $143 in ATM fees alone.

To take another example, if you are making a credit card payment online to a company that charges a $4.95 a month fee to pay online you are looking at $59.40 a year in fees just for this! While this really might not seem like much at all on its own just imagine taking all of these small fees and even more that are available and adding them up together. A cash advance is suddenly looking quite affordable since you could get the money you need to pay several bills and keep from paying late fees. Of course, consumers who are not responsible can become trapped into debt, but those who are smart can use a cash advance to their benefit and save a ton of money in the end.

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