I still remember it was 29 February my son, Ian, turned 8. A month before the birthday, he had made plans for his celebration, a list of friends to be invited, cake, cookies and his favourite chocolates. He was floating in the air because he was about to celebrate his birthday second time in the period of eight years on the day he was born.
I still can feel his excitement and exhilaration. As a father, I never left any stone unturned to celebrate his birthday at a grand level, but that year I was running out of money. I had recently moved house and I was on a tracker-rate mortgage. It was hard to imagine celebrating his birthday, but I did not want to break the heart of my son, ruin his cute smile and give him pain.
Time fleeted by and nights kept me wake up. On the one hand, I was in a tight corner and the other hand was the happiness of my son. I was on the horns of a dilemma. I could not make a choice between them. What will you do if someone asks you to choose between the right eye and the left eye?
I explained my situation to my friend who suggested to me that I should take out a loan. I grabbed my laptop, researched a couple of online lenders to get a competitive deal. I applied to The Easy Loans. I was sure that I would get a lower-interest-rate deal because of my good credit rating. Eventually, I was up on that I fell short of a few points to the fair score, as a result, I got money at a bit higher interest rates.
Along with a mortgage, the bad credit loan popped up as an additional burden on my pocket, but my anxiety would disappear whenever I would think about my son’s elation. I could borrow £2000 that I had to pay back within six months along with interest.
I could not afford falling behind repayments, so I decided to celebrate Ian’s birthday at a small venue with a modest guest list. I saved money inexpensive venues and alcoholic drinks for the adults.
Here is how I spent the loan amount on my son’s birthday.
|Pizza for 20 guests||£400|
|Gift bags for children||£150|
My son was ecstatic after the celebration. Ultimately, it paid off. I was jubilant too. After two weeks, my first instalment was due that was £345.
My account was in the red and it was getting harder to keep the wolf from the door. If I did not take certain steps as soon as possible, I would fall in a predatory cycle of debt. In the month of February, my expenses crossed my budget. However, the celebration was not the only reason.
I made a list of expenses that were eating up my budget.
- Fuel consumption even for a shorter distance
- Dine outs
I avoided all these discretionary expenses unless I had paid off my bad credit loans with no guarantor. I was glad that I successfully paid back the whole of the debt. Surprisingly, it boosted my credit score. One year after paying this loan, I applied for an instalment loan to buy a new laptop and I got money at a lower interest rate.
The short-term debt not only helped me celebrate my son’s birthday but also improved my credit rating.