Not everyone is in a position to save, doing so on a low income or while on benefits is extrememly difficult if not impossible and very unlikely to save any significant amount of money. So I understand how the potential lure of getting a cash lump sum up front even if you end up no better off over all is still attractive. £5,000 now to me for example would mean a decent new family car (second hand), several repair works sorted that need carrying out and to pay off my remaining debts to the solicitors from the latest round of court proceedings involving my kids.
Yes, long term I'd be no better off but if I came up lucky early on a £10 a month loan with zero interest would be far less costly than what I'm paying out now... so its understandable, its a lot easier to save money or get good apr rates on credit when you've a job that allows you to save.
Yes, long term I'd be no better off but if I came up lucky early on a £10 a month loan with zero interest would be far less costly than what I'm paying out now... so its understandable, its a lot easier to save money or get good apr rates on credit when you've a job that allows you to save.