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Payday Loans are designed to meet temporary, short-term cash flow needs. As an analogy: While you would not choose to take sonali bank personal loan taxi from San Diego to Las Vegas, it is common to take a taxi for a short distance such as from your hotel to a nearby restaurant.
Similarly, you would not choose a payday loan to finance a large purchase over a year's time, but you may choose one to meet a temporary cash shortfall until your next payday. A convenient alternative for short term financial help. Financial plans can be disrupted by unexpected expenses that occur between paydays. A payday loan is a convenient alternative to pawning personal property, borrowing money from family and friends, or bouncing checks.
Consumers also use payday loans to avoid late-payment penalties and tarnished credit ratings. Ideally, individuals have money saved from each paycheck to prepare for financial shortfalls or unexpected expenses.