Many of my blogs recently have focused on the fact that many families are struggling with their finances, and for many it feels like it’s worse than it has been for a while.

Well, if you’ve been feeling like that, then you won’t be surprised to hear that according to a consumer analysis carried out by financial services company Simple Payday, it was revealed that our household finances are worse than they were during the height of the recession, in early 2009.

The analysis showed that nearly 40% of consumers found that their finances worsened between July and August with the deadly combination of rising prices and decreasing salaries causing a big impact. The analysis showed that there has been the biggest reduction in people being able to save, since early 2009, with levels of debt increasing for the fifth month in a row.

No age, income level or region was exempt from this dire financial outlook, but it did find that those in the north seem to be affected more than consumers in the south. It also found that 49% of those surveyed expected that their financial position to get worse, with only 27% saying that they expected an improvement.

So, what does the future have in store for us as consumers? Hopefully those 27% were right in thinking that there will be an improvement. However, if you are struggling meeting any payments, then taking out a payday loan could be an alternative. They are quick and simple to apply for, and you just pay them back on your next payday.

Don’t Use Us To Cover Other Loans

If you’re suffering with financial difficulties and have already taken out a loan for bad credit to cover the costs, it may be tempting to take out another loan to help with those repayments.

Although this may help you in the short term, it will definitely cause problems for you in the long term. It will inevitably mean that you are stuck with them for much longer, which no one wants.

It’s always worth getting in touch with your lender if you are struggling with payments as they may be able to offer you alternative payment plans like paying it back over a longer period. Obviously, this can vary between lenders, but it is always worth getting in contact with them as a first port of call before borrowing any more money.

We do not recommend that you ever use our payday loan service to cover other loans. You should only take out a loan if you are confident that you will be able to afford the repayments. Also, these types of loans should only be used on a short term basis. Should you be suffering from a longer term debt problem, it would be a better idea to get in contact with companies like the Citizens Advice Bureau (CAB), who will be able to offer you professional debt advice.

First Time Buyers Not Able To Afford Deposits

According to research carried out by the Post Office, over 50% of potential home buyers now believe that they will never be in a position to buy a property.

Fifty years ago, the average of a first buyer was 23, whereas now it’s 35. This has been blamed on the fact that house prices are rising and people not being able to afford the massive deposits which are needed. Those surveyed said that without a higher paid job or receiving a lump sum from someone, they would not be able to afford the deposit.

The new research found that those living in London are finding it the most difficult to be able to secure a deposit, as the property prices are at their highest, with 43% of people saying that they wouldn’t be able to afford a deposit unless their financial circumstances changed considerably. This is in contrast to around 32% of those living in the West Midlands having the same difficulty. However, those in the north were more affected by unaffordable mortgage repayments.

Experts have said that if you are looking to secure a mortgage, then you must prioritise getting your deposit sorted, so that you will have a loan rate which would actually be affordable. So, the bigger the deposit, the more options that you will have available to you. Obviously this is much easier said than done, as so many people up and down the country are struggling to make ends meet, let alone save up enough cash for a substantial deposit.

Also, many of the problems people are facing are not just when they have bought their houses, but also managing to afford the repayments afterwards. If you find yourself in a position where you need to meet your mortgage payments but don’t have enough cash, then you might consider taking out a payday loan. Although they aren’t advisable to be used on a regular basis or for the long term, they are a great option to help you out temporarily if you are in any financial difficulty.