Borrowing money might be the right thing to do if you need money. But all money you borrow is a debt. It can be much harder to live with debt than to live on a low income.
This is because borrowing always costs you more money than the amount you get as a loan. If you don’t have enough money to live on now then borrowing might make things worse.
Before you agree to borrow any money from anybody, answer yourself these questions;
- Do I need to borrow? Is there another way I can get the money I need?
Find other ways to increase your income
- Does my Personal Budget say I can afford to borrow?
Find out about getting more control over your money
Watch this Money Advice Service video about borrowing money and paying it back.