Payday loans are taken out by people who need the money immediately. However though there are many advantages of payday loans the disadvantages outweigh them. There are many other alternatives to payday loans. These include pawn brokers and car title loans.
These alternatives roughly charge the same prices as payday lenders do. Therefore a good idea would be to consider other alternatives. Four alternatives to payday loans shall be considered below.
1. Withholding Tax
The first alternative is to decrease your withholding tax. It is possible for people to change the amount of tax that is withheld from their paycheck. Many people receive a refund of their taxes each year.
Such people do not have to wait for their tax refunds. You can calculate how much tax has been withheld by using the IRS withholding calculator. If you have no tax liability at all then the there is no need for any amount of tax to be withheld.
There is a very simple process that one needs to follow in order to control, the, amount of your tax that is withheld. The first step is to go and talk to your employer or the human resources department. Request them to fill out a fresh W4 form. This won’t be much of a problem and they are likely to fill it out quickly.
One thing should be kept. You are not exempt from paying your taxes and you will have to pay what you owe. By withholding your taxes to a certain extent you can save a bit of cash for yourself.
2. Emergency Food Stamps
It is possible to obtain food stamps. The first thing to do is to contact your local SNAP office. They will have a record of emergency or expedited food stamps.
There are certain requirements for which you must qualify. If you do qualify the SNAP office is likely to give you the stamps in a few days. It is also possible for you to apply online for food stamps in certain states.
3. Utility Bills
The LIHEAP office can help you in paying your utility bills. Certain people might not be able to afford having a heater in the winters. For such people the LIHEAP office can provide assistance through paying their bills. The money is allocated by state offices.
4. Community Action Association
You can find the Community Action Association online. These associations differ from state to state. These associations help out people who are not able to afford food or houses.
They help these people by granting them emergency grants and interest free loans. They also provide other types of assistance to people. A good idea would be to inquire about all the different programs that they offer, such as, the Eviction Prevention Programs.
