People will often borrow money using the most convenient way possible and do not think about the cost of doing so. Using a credit card to buy something or an overdraft is convenient if you already have them in place, however, it is much better to give credit some thought.
Firstly it is not good to go in to debt unless you absolutely have to. Sometimes there are situations when we need debt and these can be addressed with different types of loans. For example, to buy a house we would get a mortgage. We all know that but we may not know what other loans are best.
Getting a bank loan can be a cheap option if you want to borrow a fairly big sum of money and need a while to pay it back. An overdraft is useful if you need a small amount of money, but it is expensive and even a Payday loan from somewhere like 247 Payday UK could have a better lending rate. They are also best if you need money in a hurry or if you cannot get credit elsewhere. A student loan is the best place for student needing money for fees because they will not have to pay it back unless they get a well paying job. A store card might be useful if you can get a store discount by using it, but the interest rates tend to be higher than some credit cards.
The other options can be borrowing money off friends and family. This is not a good option because it can cause difficulties in your relationship if they need the money and you cannot pay it back or they expect you to pay it back more quickly than you can. Money is often the cause of problems in relationships and it is not worth losing a good friend or falling out with family over it. However, well meaning and generous they might seem, they may not be so relaxed about it if they get in to financial difficulties themselves.
It is important not to just borrow money without much thought. Choosing the right sort of loan can end up saving you a lot of money and this is important. The expense of a loan can be massive and you could significantly reduce this by using the right type of loan.