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Why Food Stamps Cannot Replace Cash Emergency Loans

With Britain’s decision to replace cash with food stamps to help it’s poverty-stricken citizens, there are speculations going around that this will only drive the citizens to resort to illegal ways to acquire some cash. For years, the UK Central Government had a crisis loan program that allow its citizens to get emergency loans after a disaster such as floods or a fire to help the borrowers get back on their feet after the calamity. However, the government decided to replace cash loans with food stamps beginning April 1 this year in an attempt to make the country’s welfare system more efficient.

People who experience short-term financial crisis resort to obtaining emergency loans to tide them over until their next paycheck. Visit site here for an example of a provider of such forms of financing. While food is a basic need, and therefore food stamps would be very much welcome during a financial crisis this will not provide the cash needed to cover the other expenses. These other expenses include rent, gas, and emergency medical expenses that needs to be paid in cash and is the usual reason for getting emergency loans. With the government’s move to abolish letting people borrow cash, how can the people pay for these equally important and urgent expenses?

With cash no longer doled out by the central government, people will have to resort to other means to get their hands on the money they need to pay for rent or gas. While there are several loan companies that they can consider, these loan companies are only good for those who have a more stable income as loan companies check on whether the borrower has the capacity to pay. It is a different matter for those who have no stable income and are dependent on welfare most of the time. There is no doubt that when left without a choice, these people will have to make the difficult choice of committing illegal acts to make sure that their families keep the roof over their heads and to buy gas to keep their children warm during the cold winter nights.

Food stamps are good to make sure that the people do not go hungry. However, emergency loans in cash should still be given to allow the people to live with dignity and to give them the security of knowing that their families will not be tossed out on the streets or their children will sleep peacefully at night because they will never go cold. After all, the need for shelter and having a warm place to stay and sleep in are equally important as keeping hunger at bay for a person to survive.

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