Student debt loans have become a crisis situation in Canada as more students take out these loans and in larger amounts. In terms of insolvencies, student debt was responsible for 17.6% of them back in 2018. This means that approximately 22,000 student debt holders filed for insolvencies during that year since they couldn’t deal with their debts. This was a few years ago but the numbers certainly didn’t improve during the pandemic. There are times when the debt payments can’t be met for one reason or another and this is when payday loans Sydney may be a suitable solution to help get an ex-student by.
When Payday Loans Can Help with Student Debt Payments
If you are in a position where you haven’t been able to meet your payment requirements for your student debt for many months, payday loans in Sydney might not be the best solution for you. If you happen to be in a dire situation, however, where it will be extremely difficult for you to make your payment this month due to a sudden financial crisis, a payday loan can help you get through the temporary crisis.
When you use payday loans Sydney to cover your debt payment for a month you will avoid getting a black mark on your credit history. You won’t have to worry about the bank giving you a hard time for missing a payment. Banks aren’t too forgiving when it comes to missed payments even if you have been making your payments regularly and on time for many years. It’s always best to avoid a non-payment and handle the situation yourself to make sure that that payment gets made.
The Problems Have Become Even More Complex
Student debt has become an issue in itself due to the spread of the Covid-19 virus and the seemingly never-ending pandemic that started back in 2020. Students that have taken out loans to go to school have had to deal with colleges and universities that were closed for in-class studies. Students had to do their work on their laptops at home and for many this was extremely difficult. Some people have a hard time learning things on their own without being in class while others struggle with the self-discipline required for at-home learning.
Many students decided to put their studies on hold at least for the moment to wait things out. Some students didn’t get the marks they were hoping to get as a result of working in a different learning environment and needed to retake certain courses. This will add to the debt load and many students will not reach their ultimate career goals due to the pandemic and the effects it had on their schooling. Even many individuals that were able to reach their goals and work in their chosen careers found that they had reduced hours due to the Covid-19 pandemic.
Some ex-students with existing student loans suddenly found themselves out of work. They were no longer able to make their regular loan payments and found that their credit rating plummeted as a result. Those that were lucky enough to keep their jobs may have had to struggle more to make the payments and this when payday loans Sydney could come in handy.
Cash for Gold Is another Solution
When you’re running low on funds and don’t know how you’re going to make it through the month, cash for gold Sydney is another available solution. Take a look around your home to see if you have any gold jewelry that you no longer want or need and turn it into instant cash. You can use this extra support money to help pay off your student loan or to at least help you purchase enough food to keep you going. When things get really bad and you don’t know where to turn next, cash for gold Sydney can offer you a helping hand.
How the Repayment Assistance Plan Works
There is a program that was instituted by the federal government called the Repayment Assistance Plan, which was implemented to help students facing challenges with their student debt repayments. An applicant must prove that they are experiencing financial hardship to get approved for the program and if they do get approval they will get relief for their interest payments for up to 60 months. If they are still struggling after that they may get approved for both interest and principal relief.
The hardship provisions for this program are very stringent so not all student debtors can qualify for it. This is another reason why consumer proposals and bankruptcies for ex-students continue to rise. When the repayment assistance doesn’t turn the situation around, students must consider bankruptcy as a final choice. While payday loans Sydney and cash for gold Sydney cannot help in these bad situations, they are still available for anyone that finds that they are in temporary financial hardship as a way to help them get through a tough time.
Cheque Cashing and Other Financial Services in Sydney
At Money Direct Store we offer a number of different financial services for people that are having financial difficulties and for those that don’t want to pay the hefty fees for services offered by banks. Use our check-cashing Sydney services when you don’t have a checking account at a bank and learn more about our money transfer services. When you deal with us we will provide you with friendly and courteous service and we are fully transparent regarding the terms and conditions of each financial product we offer.
We understand that these are difficult times for many Canadians and we have stores across different provinces. Visit our website at moneydirectstore.ca to find the nearest location near you. If you require payday loans Sydney, check-cashing Sydney or cash for gold Sydney, be sure to visit our Sydney location for further assistance. You can also feel free to call us anytime if you have any questions that you need answered on an immediate basis.