Can A Loan Be Used To Pay For A Birthday
One of the things about birthdays is they always seem to catch us off guard, we think we have everything covered and then suddenly you are reminded it’s a loved one birthday, or it might be your own child and you want to plan something special for them and just haven’t accounted for it in this month’s finances. Many people, especially parents, feel the pressure of having to keep up with the Jones, and ensure their children get the birthday they deserve and one comparable to what their child’s peers got.
However, spending hundreds on a birthday isn’t something everyone can do at the drop of a hat and it’s important to consider your own circumstances before taking out a loan to help cover the cost of a birthday. So, with many people asking ”can a loan be used to pay for a birthday?”, the simple answer is Yes. However, you need to ensure before you take out any loan that the repayments are affordable and you’re lending an amount that is sensible in relation to what the person actually needs.
Many people forget the best birthdays are the ones where memories are made and not where money is just spent. One of the reasons many people choose loans to help cover the costs of birthdays, especially in relation to presents and parties, is they help to keep a short term cash injection without it breaking your own monthly budget. Keep reading below to find out more about birthday loans.
What Is A Birthday Loan?
A birthday loan is essentially a loan that someone takes out to help cover the cost of a birthday. As we all know, birthdays can be an expensive time, especially with presents and for younger children or special ages, parties as well. Whether you simply don’t have all of the money to cover the costs, or you’re simply wanting to splash out to spoil a loved one and make them feel special, birthday loans help to give you a cash flow that you can then repay with manageable monthly payments.
Some people do use credit cards or catalogues to help with birthdays but these can be restrictive and it’s one of the reasons many people choose to opt for loans instead. One of the most important things to remember is before you take out a birthday loan, you need to ensure the amount being borrowed is realistic, the repayments can be covered and you understand the interest rates and what is being paid back in total.
Why Do People Take Out Loans For Birthdays?
For many people a loan isn’t needed to help cover the cost of birthdays, but not everyone is in the same position. Loans help to provide quick cash and allow people to afford presents, cake or even a meal out and sometimes it also helps parents to ensure their children aren’t falling behind their peers. Why not everyone might agree with taking out a loan for birthdays, most people who do use these types of loans are taking them out of love and to ensure the people they care for aren’t missing out.One of the reasons loans are becoming increasingly popular over other types of lending is they offer fixed terms and fixed APR rates, which means you know exactly what you’ll be lending, what your repayments will be and how the money will be paid back. In addition to this, it also means you aren’t restricted by only spending in certain places which can be the case with catalogues or store cards, meaning having the cash to spend where and how you want could actually save you money in the long run. Many catalogues charge excessive prices as they know people ordering from there, have no other options to choose from.
Getting A Loan For A Birthday
If you’re considering taking out a loan to help cover the cost of a birthday, then we can help. At Forward Finance we are regulated by the FCA and are CCA members to help ensure we act as a responsible lender. We carry out a number of checks before giving out any type of loan to ensure they are affordable for our customers and we’ll work closely with you to assess your finances and work out an option and repayment plan that suits your specific needs. For more information or to apply for a loan, please don’t hesitate to get in touch.