A lot of the times payday loans leads you into a debt trap especially if you do not handle your cash right. This is because that when most people borrow payday loans they never pay them off or pay off the loan late. Most people will end up borrowing money again to pay off the previous payday loan, which often leads to a debt cycle. Others are able to pay off the loan but by the time they pay off the loan the interest rate and the fees are probably to high to pay off. Disadvantages of payday loans which includes debt traps also include financers who make benefit out of the people in financial crises exploiting the poor or those who can’t manage their money right. Another disadvantage would be high interest rates; the longer it takes for you to pay your loan the more expensive it becomes, this process is known as rollover.