If your credit rating is low, you may be limited to where you can borrow money and this is a time where people can take advantage of you.
Instant, fast cash comes with a penalty and is often very expensive when it comes to paying it back.
On this page we will provide you with handy tips when it comes to borrowing money and also provide you with details of how to access low cost affordable loans.
| Spend time shopping around | Always shop around for the best deals, or ask us for help and support. |
| Total repayment | Always look at the total amount you will have to pay back when borrowing money, dont just focus on the weeky or monthly repayment amount. |
| ‘Payback weekly’ stores | These often seem attractive, but the total cost of repayments are very high compared to the actual value of goods. |
| Loan Sharks | Never borrow from Loan Sharks. If you're finding it difficult to get credit, contact your local Credit Union Hoot or ask us for help and support. |
| Secured and unsecured loans | Make sure you know the difference. A secured loan means you can lose your home or goods if you don't keep up the repayments. |
| Work out your budget | Before you borrow, make sure you know if you can afford the repayments. |
| Never borrow money on the spur of the moment. | If you're buying something really expensive such as a car or furniture, think about payment options beforehand. The loans offered by the sales staff may be more expensive than other options. Contact your local Credit Union Hoot. |
| Be careful about borrowing more money to pay off existing debts. | Additional borrowing can seem like a good idea and may well help in the short-term, but can too often lead to more serious longer-term problems. Contact us for help and support. |
| Interest free deals | Be really careful, they are only interest free if you pay them off within a certain time period. If you don't pay them off within this period, you will pay a very high rate of interest. |
| Avoid going overdrawn | If you go overdrawn without agreement you will face being charged high amounts. You'll be charged much less if you agree the overdraft beforehand. |