Payday loans can be very beneficial in helping someone out in a pinch and repaid as soon as possible. There are some situations in which people simply need to bridge the gap between paydays in order to make ends meet to catch up on bills or pay off an emergency debt. However some of these payday loans come at a higher interest rate due to their ease of qualifying to get one. While someone needs to keep in mind that these high cost loans can help a person in a bind, there are also some really bad reasons why people apply for payday loans that is an irresponsible use of money.

Going on a Trip

While a nice getaway always sounds tempting, do not let the special low package rate deals be too enticing.  People should try to only go on a vacation when they can afford to.  While vacations have a positive outcome on a person’s mental and physical well-being as a break from the daily stresses, a person needs to realize that paying for something with money that one does not have can become even more stressful.  While a person is on a trip and may be having the time of their lives, since they have taken vacation time off from work, they are not working and earning money but instead accumulating debt that will have to be paid back to the payday loan lender. It is a much better idea to plan a vacation and set aside money each month rather than to splurge by taking out a high cost payday loan.

A Shopping Spree

New clothes, home furnishings, sporting goods and other items can sure make a person feel good to own items that they have been coveting.  In the long run though, these things are just materialistic and one should ask themself if it is really an item that they need at the moment.  It is one thing to buy some necessary items such as groceries or maybe some clothes to get by on for a while.  However, to apply for a payday loan only to spurge on impulse shopping items is very costly in the end.  People should avoid this completely or buyer’s remorse may kick in when bills are due and there is no extra money to pay off the loan.

For Entertainment

Everyone needs a way to relax after a long day and take a break from everyday tasks.  Going out to eat at the swanky restaurants, going to the hottest concerts, going to museums, visiting the clubs or even getting a great seat at a sporting event all sounds pretty tempting.  Unfortunately, to use borrowed money, these activities can mount up and cost hundreds of dollars. There are always better ways to spend the money than to use an expensive payday loan to fund entertainment.

While payday loans can help out in emergencies, they are certainly not good methods to choose to spend on items that you cannot do without.  Payday loans are simple solutions but for someone who is irresponsible with money, these loans can create larger debts and bigger headaches if not used wisely.