When looking at the payoff for a credit card and compare it to a cash advance online, most people would agree that a credit card carries the safest practice for your budget. Small minimum amounts for as long as you want; simple and comforting to those who struggle with their budget.

A cash advance requires a full payoff in a short time.

Treating an online cash advance like a credit card payment is a slow death for your budget. The high interest and short terms for each pay period will tax your income and bleed the bank account. As simple as this short-term loan is to obtain, a budget needs to be able to support the payoff on the other end.

Most people choose to use credit cards for extras and emergency needs. For the most part, it is a good decision to use credit for the overall health of your budget. With that said, there are some dangers to using credit cards.

• Credit cards do not pinch as much to use as cash. When you have to hand over actual bills for the purchase, your brain tends to connect to the cost. When a credit card is used, a person may be more apt to spend more. The limit on a credit card offers more than the green in the wallet. Debit cards offer some sort of balance in terms of a person using it knows very well that the money spent will be immediately deducted from their bank account. This tends to curb or restrain the amount spent similar to cash than a credit card does not create.
• Using a credit card may give a person the impression that there is more to spend than what they really have. This inner thought can be lethal to your bank account.  It’s a slippery slope which increases balances and allows interest to eat away at income. When there is only a demand for minimum payment, many people stretch the payoff out over years doubling or even tripling the initial costs.
• Impulsive shoppers find it easy to spend more when there is no value to swiping a plastic card.  A credit card will feed into the impulsive purchases and blur the line between needs and wants.
• Fill up a credit card and apply for one more. The debt created by credit cards has increased the financial stress level tenfold. An average user will have 5-10 credit cards in which the majority of the available balance is used up. It is easy to persuade yourself that applying for one more credit card couldn’t hurt, especially when the store or company are offering sweet rewards. It takes a strong will to say no realizing that those perks will not outweigh the final cost.

A cash advance is a onetime loan.

The application is for a one time loan transferred into the bank account and the borrower can do what thy please with it. States have regulated how many cash advance loans a person can get at one time. Often, there will be lenders that have their own limitations as well. The full payoff required in a few short weeks is already going to be a burden to the budget. When there are too many of these short-term loans out at once, the risk is elevated for the lender.

Decrease cash advance dependency.

It all comes down to budgeting and smart spending. Use a credit counselor to help design a budget that works for your income. Refrain from overspending with credit cards and minimize cash advance dependency.