Let us take a stroll down story lane. This is a fictional story. The point is to illustrate when it might be ok to consider a payday loan. No harm will come to animals in the writing of this story.
The setup
Let’s say you live in a very rural area. Public transport is not an option. The only bus you see on a daily basis is the school bus. You truly live in the sticks.
You also live twenty miles from work. Walking and riding a bike to or from work is not an option as you have bad knees. You moved away from family many years ago. Due to your location, car-pooling is not an option. Again, you are at the mercy of your own devices.
The problems arises
One day you are coming home from work and your engine stalls. You get out and look everything over, but you can’t find anything wrong. Therefore, you call a tow truck to come pull your car to the repair shop. This tow bill has now cost you the last dime in your bank account. Good thing this situation happened on Friday.
Saturday rolls around and you receive a phone call. The prognosis on your car is not well. Your water pump has gone and needs replacement. Your car is now completely un-drivable. You need your car to get to and from your job.
The service tech tells you that it will run you $150 for parts and labor. You just wrote the last bit of money you had to the tow truck company. The auto repair shop does not know you so they will not take a post-dated check.
The financial setup
With the last of your money gone and nobody to turn to you decide to hit up the payday loan place for a quick bit of cash. This costs you $35 to do. This is better than bouncing a check and paying $70 in fines from the bank and auto repair shop.
With your money in hand, you go and get your beloved car from the shop. Everything works great and you are good to go for another week. You mark down that you have a week to pay the money back. This is no problem as you payday happens in two days.
The repayment
Payday has finally arrived. You are now able to restock your groceries and eat. Even better, you can go and repay that payday loan you took out to fix your car. You walk in with a smile and pay off the payday loan people. The world is right once again.
The moral
While getting a payday loan should be one of the last things you do, there are desperate times that you have to bite the bullet and snag a payday loan. This story is a bit overblown, but the point is that you paid off the loan as soon as possible. It cost you $35 for the payday loan versus the $70 in bounced checks. If you had not paid the loan off on time, the amount for the payday loan would have sky rocketed. If you get a payday loan, you must pay it off within the allotted period.