January is often a month when people find it tough to make ends meet. The indulgences of the Christmas festivities often leave bank accounts in bad shape, credit card balances frighteningly high, and plenty of vying demands on whatever spare funds remains. It’s not surprising then that for many of us, our January budget is a circle that just can’t be squared, and towards the end of the month money just dries up.

If you’re fortunate, your overdraft may be able to take the strain, letting you put off sorting out some of your expenses until your finances settle down again in springtime. Or, you may have credit on your credit card that you can utilise to cover essential costs, although withdrawing cash on plastic is notoriously pricey.

What can you do if neither of these options are available?

The answer is, for some, to apply for a payday loan. While these kinds of loans are far from inexpensive, they are speedy to arrange and are available to more or less anyone who has a regular job and a suitable bank account, with credit history not usually being a barrier. Wage advance loans are usually for a small amount, a few hundred or so, and are borrowed over a period of weeks rather than months. A fixed charge of around a fifth of the sum you borrow is charged, which you pay when you repay the loan when you get your next wage.

Most fast cash loans also have the facility of being renewed or prolonged, so that you can defer paying back the loan for another month, albeit at the cost of a fresh set of costs. While this is useful for some, it is also hazardous: it can be easy to get stuck into a cycle of finance which is a challenging drain on even the most healthy of budgets. The cost is also of concern, as pay day loans are very costly compared to virtually all other sorts of credit.

However, if you find yourself in difficulties come month end and can’t make ends meet, then a pay day loan could be a rapid and easy solution – just make sure you know about and can handle the perils involved.