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Q I'm deep in debt with payday loans. Is there a solution for paying off or getting payment plans on these types of loans, or am I out of luck? I have a total of eight.

A Plugging a hole in a dam with chewing gum is a good analogy for using a payday loan to solve a financial problem. It is usually the only solution available on short notice for a problem that has been building for a long time. Solving long-term problems with quick fixes is rarely a bargain. In this case, that's true on many levels.

The fact you sought out a payday loan in the first place tells me you are not properly managing your finances. Also, that you have a total of eight loans tells me you are likely obtaining additional loans to pay the interest and fees on your existing loans.

As you have found out, the cycle is vicious, and it's hard to break without causing serious damage to your finances, your credit and sometimes your relationships. The fees charged for a typical payday loan are the equivalent of paying 200 percent to 500 percent interest annually for the loan.

No one would sign up for a term loan with those kinds of interest rates if there were another choice, yet payday-loan establishments outnumber fast-food chains in many cities across the United States.

Yes, you can receive help to get out of the payday-loan cycle. Contact a reputable credit-counseling agency in your area and make an appointment to speak with a credit counselor. You can find one by calling 1-866-703-8787 or visiting www.aiccca.org.

A counselor can help negotiate with your lenders and, more important, can help you put together a plan you can live with to help avoid financial problems in the future.

I'd like to leave my readers with a caution and, of course, some fabulous advice. Rather than buying into the advertising that payday-loan establishments tout, "Get a loan to tide you over until your next payday," think before you act.

Look at things realistically. If you don't have the money now for whatever it is that you decide you need a payday loan to cover, what makes you think that when you get your next paycheck you'll have enough money to cover all your expenses, the payday loan and the odd emergency (engine problem, traffic ticket, sickness, etc.) that always seems to pop up when you are most vulnerable? Trust me: You won't.

Debt Adviser

Steve

Bucci