So, you took out a payday loan...

OK, so you had to take out some payday loans

So what? It's not the end of the world. Here's what to do to avoid needing one in the near future. After all, who wants to remain in the trap of paying fees and interest to keep taking out these payday loans?

Relax and give yourself a break.

Everyone is entitled to make a mistake. Your best bet is to prepare for the next cash crunch.Make a plan to find savings and set it aside with a vow to yourself not to use it unless you would be forced to take payday loans. While this sounds difficult, you can use the 22 money tips that can be found in the resources section to help you find some extra cash. Temporarily increase your number of dependents on your W-4 form (you can claim up to 9 without having to justify it, even if you are only, perhaps entitled to 5 on your tax return).

Review your monthly expenses.

See if you can cut some of them. Can you reduce the minutes include on your cell phone bill? This can save you $10-20 per month. Can you eliminate the premium channels on your cable TV, lower your internet bandwidth plan, switch your utilities to a cheaper competitor? You get the point, it's time to start looking for ways to cut your monthly costs. Increase your auto insurance deductible.

Look for ways to bring in a little extra money.

If you work an hourly job, ask for overtime. Even if not, it may be time to ask for a raise. When asking for a raise, ALWAYS frame your request in such a way that shows why you deserve it in terms of how you help the company. Maybe it's time for a yard sale... If you can do some odd work for neighbors... Walk dogs... Babysit... Mow... Anything.

Watch your checking account like a hawk.

You want to avoid any overdraft fees like the plague, especially when you have payday loans out. The best advice? Limit use of your checking account and debit cards to only bills you need to pay using it, that way it's a known amount of money that needs to stay in the account. Of course, you will need to be sure you are aware of any transactions that are pending so that you don't overdraft in the meantime, but you should aim at using it only for specific bills you intend to pay through it. Everything else, be sure to pull cash and use it sparingly.

Pay off your payday loans ASAP.

If you can pay a little extra in the meantime before the loan is due, by all means. These are expensive loans. You need to get the principal paid down and slow the interest being charged as much as possible.

Prepare for the worst.

If you really can't pay your payday loans off by pay day, you can often pay a fee and extend the loan. This is the real world. We can't always plan for our expenses. In some instances, you may need to take the cash you have in hand and take out a second payday loan and combine that in order to pay off the first one. This will at least get your principal down and extend your time to pay off the loan as the new loan will have a new later due date and probably the ability to extend it a couple times. The key here is to do some homework. You want to get the cheapest loan you can, since this time it's not an emergency.

Get out of your way.

Do your best not to be your own worst enemy. By that, I mean that we often cause our own emergencies by buying something big when we should wait until we can do so and still have savings. We can do preventative maintenance on things like our central air conditioning and heating units and cars to avoid costly unplanned repairs.

Be your own payday loan company.

After your payday loans are paid off. Build up your own emergency fund. If you borrow against it, pay it back with interest. Pay it back as if you were paying back a payday loans company, meaning, if you need an extension, make sure you pay yourself back with a fee for the extension. Then when you get done paying yourself back, reward yourself by using part of the extra you paid back for a little something special for yourself. After all, you deserve it. And you know what? You own the payday loans company, so you should be rewarded for a good investment. It's just that this time... you invested in yourself!  :)