When you have good financial health, you usually don’t have to worry as much about unexpected expenses. You tend to have an emergency fund and banks will normally loan you the money you need at a great rate. They expect people with excellent credit not to default on their loans. Good financial health allows you to follow your dreams, start a business, rent a luxury apartment, lease a car, or even buy a house.
Emergencies cause unexpected expenses
But even the best-laid plans can go awry. You can lose your bags when traveling and get stuck on a long trip without the money needed for food and lodging. Accidents can create very expensive hospital bills. Storms can cause water damage which may require expensive home repairs. They can also knock over mature trees leaving you with a bill for tree removal if the tree is blocking a neighbor’s driveway. None of these things are predictable.
How to get money fast
The first thing that you must do is to determine how much money you will need and whether you are comfortable paying higher interest rates on a loan. If the money will be used for personal purchases like souvenirs on a trip, you may want to reconsider getting a loan for that. For emergencies that may impact the investment of your home, you definitely want to make sure that repairs are done in a timely manner, so they don’t end up costing you too much.
There are online lenders that will get you money within one business day. Online lending companies don’t have the overhead of a physical location and are usually more flexible in their lending. They are often willing to lend to people who otherwise may not be able to get a loan. This is one of the fastest and easiest ways to get access to cash.
Line of Credit
A line of credit will allow you to access the money that you need when you need it with a cash advance. They are advertised as personal lines of credit or bank lines of credit.
Lines of credit may be used for any expense. It is a good option for an unexpected home or car repair when it is important to have fast access to cash. You will pay off a line of credit just like a credit card.
The downside to a line of is that the rates are normally higher than fixed rate loans. If the interest rate increases, the rate on the line of credit increases as well. A line of credit often requires an account at a lending institution and a good credit score to qualify.
Credit card cash advance
People who have a credit card may be able to get a cash advance quickly. A credit card cash advance is essentially a short-term loan that is offered by many credit cards. The borrower can receive cash for up to 20% to 30% of the available credit line on the card.
A credit card cash advance can be accessed at many ATM’s or by writing a convenience check, known as a credit card access check. The cash advance will have compounding interest plus an up-front service fee. Most credit card companies only make a portion of your revolving credit line available to be a cash advance. The amount that is available for a cash advance is often printed on your monthly statement.
This may set you back from your long-term financial goals. Ideally, if this is your only option, you’d use a credit card with a low outstanding balance. But in emergency situations, it’s a consideration you’ll have to weigh given your unique circumstances.
Consider a side gig
Depending on the need for cash and your time frame, you may not need to go into debt. There are many ways to quickly earn extra income. Many side gigs can be done in your spare time from the comfort of your home. From renting out unused space in your home to walking the neighborhood dogs. You can find side gigs for just about every interest.
Working a side gig may take a little bit more time and require some work, but some jobs can pay pretty quickly. Freelance work is available on a daily basis for many types of work and often the payout is within a few days. Having a flexible side gig in place can give you access to extra work when you need it.
If you are still short of funds and in need of an emergency loan, apply today with Jora Credit.