Millions of families in Canada live from payday to payday. In such cases, the monthly income is just sufficient to take care of the monthly expenses, leaving no room for saving cash that can be used in future for emergency financial needs. This is very dangerous as far as the financial security is concerned, because you have nowhere to turn to when a financial emergency strikes. This is also the primary reason why the dependency on payday loans bc is increasing every year as millions of Canadians turn to payday loans bc in order to take care of their emergency financial needs. BC Loans
can be very helpful because they are processed almost immediately and are easily available, but they have their own share of shortcomings. To start with, payday loans are very expensive as the interest rates can touch 400 APR, there are also processing fees and service charges over and above this.
The focus for everyone should be to start saving and building a cash reserve for emergency financial situations instead of depending on payday loans bc to take care of such needs. Savings can be difficult, especially when you have a limited income coming home every month. You should however consider it this way, if you save money, the bank gives you interest while if you take a loan, the bank charges interest. It doesn’t take a genius to figure out the difference, while the former is increasing the money coming to your household, the latter is eating a share of it.
Here are a few tips that would help you put some money in the savings pool and proceed towards a financially secure future.
1. Get rid of the luxuries: If you are buying that designer handbag but are not putting some money in your savings account, you are doing a big mistake. Savings should always be given the first priority. The first thing that you should do is to cut on the luxuries, the hand bags, shoes, vacations, dinners etc. have to end because they are eating away the money that you could have saved. Once you get rid of these luxuries, you would realize that you always have some money to save or utilize it somewhere where there is a shortfall.
2. Separate an amount before the start of the monthly cycle: As soon as you get your pay for the month, make sure that you keep an amount aside as your savings; your monthly budget should now revolve around the remaining amount. As a practice, it is suggested that you save at least 10 percent of your monthly salary. That is however; just a suggestion and you should work towards saving as much as you can. If you are saving more than 10 percent a month, it doesn’t mean that you have a free hand to spend on luxuries; it just means that you are on the right track for securing your financial future.
3. Take another job: If you feel that saving is impossible with your current monthly income and no matter how hard you try, you can barely make ends meet then there is no other option but to increase your monthly income. Talk to your employer and see if you can clock some extra hours at your workplace, the additional income you get goes directly into your savings. If overtime is not available at your workplace, try taking up a second job or changing your workplace where you can get such a facility. This would mean that you would have to cut down on your leisure time, but securing the financial future for your family is also your responsibility.
Payday loans bc are a good financial tool for taking care of financial emergencies, but there is nothing that beats the savings that you have.
Some savings are always better than no savings at all; hence you should always strive towards saving as much as you can, even if it is a few dollars every month. Payday loans bc should always be your last resort when you have exhausted all other options of dealing with your financial need. This is because payday loans bc are very expensive and with the convenience that they come along with, it is easier to take a loan and not try to save.