Being a student is something that is becoming more and more of a financial burden for young adults. The cost of tuition fees continues to soar and as a result many students are finding it difficult to make ends meet. Now more than ever before, budgeting as a student is of utmost importance and you need to ensure that your student loan and any additional income is large enough to cover your outgoings. Help is also on hand in the form of payday loans that can tide you over for a short period of time, and when used effectively alongside an efficient student budget, you will soon have a firm handle on your finances.
The key to managing your finances and enjoying a traditional student lifestyle of working and partying has always been about having an effective budget. This is certainly the case right now as the fees associated with going to university continue to rise. This should not overly concern prospective students, though, because if you’re sensible in your spending you should not come into too many financial difficulties. If you’re a current student and can’t see any light at the end of your tunnel when it comes to money problems then it’s time to cut back on student luxuries and start getting tough with your budget!
It’s relatively simple for students to keep their living costs down and it’s just a case of making some sacrifices. Simple things such as buying a frozen pizza from the local supermarket rather than getting a takeaway regularly will immediately save you some money, while eating at home before going out will benefit your bank balance. At university, much of your focus will be on enjoying yourself and while that shouldn’t change, by cutting back a little bit on your nights out you can slash your weekly costs.
If a budget is an alien concept to you then that’s probably where you’ve been going wrong up to now. You need a budget and while it doesn’t need to be that detailed, you do need to have a good idea about your income and outgoings. Simply allocate your student loan equally between the weeks you’re going to be at university, add on any extra money you might get from working and then you’ll know exactly how much money you’ve got to spend each and every week.
Next, it’s a case of taking a look at your outgoings and how they compare to the actual amount of money you have. Here you need to include your weekly shop and any additional money you regularly spend on food and drink throughout the week. The difference between your income and these outgoings is the money you have left over to go out and enjoy yourself and if you’re fairly frugal in your spending this should be a sizeable amount.
While budgeting is essential for the state of your finances as a student in the long term, if you’re short of money right now then there are other steps that you can take in addition to drafting a basic budget. Your short term solution could come in the form of a payday loan that could enable you to get your hands on the cash that you are in great need of. But what are payday loans?
Put simply, payday loans are cash advances on money you expect to have in the near future. Unlike some loans, they are short term in their nature and designed to give your bank balance a boost until you can afford to pay it back. Payday loans generally last for a month and are usually used to cover a financial shortfall until you get paid at the end of the month.
With payday loans no faxing is required; and the reduction in paperwork will allow you to get your hands on the cash you need more quickly. As a student, this type of loan could be used towards the end of term before you plan to earn some money through temporary employment or just before the start of a new term, so that you have some spending money to cover living costs until your student loan is paid into your bank account.
As a short term source of income, same day loans are pretty effective and when used sparingly, can prove to be ideal for some people. As a student it could prove to be perfect while you get your budget in order and until you can reduce your outgoings. If for some reason your student loan is not paid on time or you couldn’t fulfil the employment that you were planning to undertake in the summer, a payday loan can ease your financial strain until you get your finances in order.
Payday loans are perfect for a financial emergency as they are relatively quick to acquire and the money you need in your bank account can be there within days. The disadvantage is that the interest on this type of loan is generally quite high, so after a monthly period you will have to pay back a larger amount of money than you borrowed in the first place. If the situation dictates that you need a fixed sum of to become a big worry and can become a burden you don’t need when you’re trying to study money in a short period of time, then a payday loan may well be your best bet.
A payday loan will usually be a small amount of money, somewhere in the region of £100 and £1,000. Of course, you only have to borrow as much as you need and this will help to keep the repayment that you have to make as low as possible. You can rest assured that it won’t affect your credit rating either, so as long as you pay it back in full right away there will be no long term repercussions.