Responsible borrowing

Plan the repayment before borrowing

Start with the amount you will need to repay, not only the amount you want to borrow. Check that the repayment can be made from expected income while still leaving enough for housing, food, utilities, transport and other essential expenses.

Compare the total cost, not just the advertised rate

Interest rate, APR, service charges, processing fees and other mandatory costs can affect the amount you repay. Compare the final amount payable and the repayment date before accepting an agreement. Our guide on how to compare the total cost of an online loan explains the main figures with examples.

Read extension and late-payment rules in advance

An extension can change the due date and may add fees or interest. A missed payment can also trigger charges or collection steps under the agreement. Review the lender's current rules before borrowing and see our guides on loan extensions and missed loan payments in Sri Lanka.

Avoid using one short-term loan to repay another

Repeated refinancing or taking a new loan simply to cover an existing repayment can increase the total cost and make budgeting harder. If repayment is becoming difficult, contact the lender early and ask what documented options are available.

Keep copies of the final agreement and payment records

Save the agreement, repayment schedule, receipts and important messages from the lender. If a dispute arises, these records can help you explain what was agreed and what was paid.