As you take on more and more debt, you can be rest assured that your financial situation will change in many ways.

Mounting debt has a way of making you vulnerable to poor decisions. Subsequently, as you make these decisions, your situation worsens and the cycle continues.

Here’s an example. You continue to use credit cards to get through each month, despite the fact that you understand the negative impact it’s having on your finances.

At some point you realize that your credit cards are maxed out, thus leading you to explore other avenues for keeping your head above water.

For some, this means one thing: searching for any type of loan that allows them to get their hands on more money.

Since traditional lenders are likely to shoot you down, as a result of your current debt load, you find yourself considering loan sharks and payday lenders.

Your vulnerability during this time makes you believe there’s nothing wrong with this decision, as you need the money to live.

Unfortunately, going down this path is only going to make your situation worse. Here’s why:

• A loan shark will only lend you money with a high interest rate attached to it
• You’re not doing anything to improve your situation, but instead making it worse by taking on another loan
• Once you use the money you’ve borrowed, you’ll find yourself once again searching for more (this is a cycle you need to break)

You’re not the only person who is facing mounting debt and all the stress that comes along with it.

While it’s easy to take on more debt as a means of holding things together for a little bit longer, this approach will eventually catch up to you.

You may be vulnerable during this time, but that doesn’t mean you should continue to make poor financial decisions. Once you put your foot down, you’ll be surprised to find that there are many legitimate strategies for clawing your way out of debt and better enjoying your life.

You’ve heard the horror stories in the past. You may have personally gone down the wrong path with a credit card at some point.

There are people who will tell you that a credit card is the best financial tool they have. There are others who will tell you that using one of these has made their life more difficult.

While there are definite pros and cons associated with credit cards, here’s something to remember: it’s always a better option than turning to a loan shark.

With a credit card, you associate yourself with a legitimate bank that is governed by a high level of standards, rules, and regulations. Conversely, loan sharks don’t worry about these things. Instead, their only goal is to lend you money as a means of generating a profit.

Here are some of the many reasons why it makes sense to use a credit card, as opposed to doing business with a loan shark:

• Variety of options. There are hundreds of credit card issuers and thousands of credit card offers. With so many options it’s much easier to find something that suits your exact wants and needs.
• Access to a zero percent introductory rate. With a balance transfer credit card, for example, you can access a zero percent introductory rate for a period of up to 18 months. This allows you to take care of your financial troubles with no concerns of mounting interest charges. A loan shark will never offer this rate, but instead charge you 20 percent or more in order to borrow money.
• Top of the line customer service. With a credit card you gain access to a customer service team that’s willing to answer your questions and help you get the most out of your situation. The same can’t be said for a loan shark, as this “lender” only cares about you paying them back with interest.

This isn’t to say that using a credit card is the best option for every consumer, but it always beats a loan shark.

Do you have any experience using a credit card to tackle a financial challenge? Were you happy with the end result?

If you find yourself in need of fast cash, you may soon find yourself pulled in the direction of a payday lender or loan shark.

With both these options, you know you can get the money you need without delay. And while you may have some reservations about getting involved with a less than reputable lender, you continue down this path because you’re in a hurry.

Before you make this decision it would be in your best interest to learn more about a personal loan. There are many reasons why this is a better option than a payday lender or loan shark, including but not limited to:

• The ability to borrow money from a reputable lender. With a personal loan, you’re borrowing from an FDIC insured lender that has your best interests in mind. This is in stark contrast to a loan shark, who is only interested in charging you the highest interest rate possible.
• Fast funding. It’s a myth that it takes weeks on end to secure a personal loan. Get this: once you receive approval, which can happen as quickly as one day, you’re in position to immediately request the funds. Depending on your lender, you can get your hands on the money within one business day.
• Competitive interest rate. Your rate is based largely on your credit score, but remember this: it will almost always be lower than what you can get from a payday lender or loan shark. Subsequently, you don’t pay nearly as much in interest over the life of your loan.

A personal loan is not always the right choice either, but it’s definitely better than turning to a payday lender or loan shark.

If you find yourself in need of money – such as to pay medical debt or for another type of emergency – don’t hesitate to learn more about a personal loan. You may come to find a lender that offers the term, rate, and other conditions that suit your financial situation.

What do you know about personal loans? Do you have any experience with this financial product? Share your feedback in the comment section below.

If you find yourself in desperate need of money it’s not out of the question for you to consider each and every opportunity that’s available to you (within the limits of the law, of course).

Unfortunately, this could lead you toward a loan shark. While everything may look good at first, you need to remember one thing: there is never a good time to trust a loan shark, as there are other more reputable ways to get your hands on the money you need.

Here are three reasons why you can never trust a loan shark:

• These “lenders” are out for themselves. They’re in the business of making money, no matter what it takes, as opposed to forming a mutually beneficial relationship. For this reason, you could find yourself in a bad spot before you know what hit you.
• They don’t care about your finances. When you borrow money you hope that doing so will improve your finances, not make things worse on you. This isn’t likely to happen when you borrow from a loan shark. For example, super high interest rates are all too common with these so-called lenders.
• They’ll do whatever it takes to make more money. You’re seeking a loan that will allow you to reach a particular goal, such as pay down medical debt or deal with some type of personal emergency. A loan shark, however, has one thing in mind: making as much money off of you as possible, even if it causes more harm than good.

Now do you see why it’s never a good idea to trust a loan shark? No matter what you’re told upfront, you should never fall prey to one of these scams.

Rather than jump the gun and accept money from a loan shark, consider all your other options. From a credit card to a personal loan, you can find a reputable lender that’s willing to do business with you.