Instant loans can be found, but they are not that common except at a pawn shop or a cash loan vendor with extremely high finance charges, which makes the adage “anything is possible – for a price.”
Instant loans are great things if used properly. If the funds are borrowed and paid back on time, the borrower will have no problems, but when they are not paid back on time, late charges are added to the loan or if the borrower takes more than they can realistically pay back, the borrower will just sink deeper into financial despair.
Lenders who make instant loans often encourage more borrowing than is necessary. If the borrower falls into that trap, the instant loans will create more financial havoc than the loans will solve. The borrower falls into a never ending cycle of loans and payments and has to keep borrowing money to keep the cash flow going and the bills being paid.
Instant loans can be used for any purpose and they should only be used for absolute emergencies. Instant loans should not be used for a getaway weekend to a warm climate in the dead of a cold and bitter winter. If you cannot afford to take some respite in a warm climate without taking out a loan, you should invest in a heat lamp, a good book and a case of your favorite beer.
As helpful as instant loans can be, they have a definite drawback to them. They are very easy to get and almost everyone who applies for such a loan will be approved. There is no credit check and if the applicant meets the requirements which are very minimal, the cash is as good as in the bank. The ease of obtaining the loans does not encourage those in need of instant cash to find other, less expensive means to get money. It can easily become the path of least resistance when financial help is needed.
Those that have struggled with cash flow problems have always been able to get help even back in the day of mom and pop stores in the 1930’s and 1940’s and probably even before then. Someone who had a job and a regular paycheck could go into almost any store and ask for a cash advance and get a few dollars until payday. If any interest was charges it was a mere penny or two a day. When payday rolled around the borrower’s would always stop to see their local lender and pay their loan. Sometimes, the borrower did not take a cash loan but were able to buy goods and groceries today and pay for them the next time payday rolled around. Walk into your local burger joint and say to the cook “I will kindly pay you Tuesday for a hamburger today.” Guaranteed you will not be served a hamburger.
Some people just get crazy with money and spend, spend and spend without giving any thought to what they are spending their money on and that causes great financial distress when financial obligations are ignored.