If you run into a situation where you need money immediately, an emergency cash loan may be your only hope. You can these loans from a number of sources. Typically, whether you receive one or not may depend on the amount you need and whether or not your credit appears good enough to make the loan worth the lender's while.
The best thing for you would be to have your own emergency funds set aside for a rainy day. Of course, this is not always possible. If you are in a situation when you need some financial help quickly, then the following sources may be of help to you in your time of need:
- Charities - If you need the money for food or necessary bills such as rent, electricity, heat or something similar, a charity might be able to offer you the money you need for your payment. This is not technically a loan because it will not need to be paid back. Churches and charities like the Salvation Army offer these services. You may have to fill out a little bit of paperwork, but generally the funds are given to you or the food or bills are handled for you within the same day. This is a wonderful option if these necessities are the reasons you need cash quickly.
- Family and friends - This option could be one of the most painful ones that you consider. If any emergency has come up and you are hoping to receive money discretely, then this may not be the option for you. Family and friends will ask why you need money. They may want to know because they care about you or because they are nosy. If you do not want to tell them, it often will be hard for you to receive a loan from them. In addition, you should keep in mind that telling them does not guarantee anything.
Your family and friends may not want to lend you money because, as is often the case in these scenarios, they are afraid it will harm the relationship they currently enjoy with you. They might also be afraid that you will take advantage of the fact that you are a family member or a friend and not pay them back. For these two reasons alone, it is possible that this strategy will not work for you. After all, these people may need to plan for their own potential emergencies. However, if you need cash fast, usually going through a family member or friend requires little time and paperwork.
- Bank-oriented options - There are several banking options available for cash loans. Of course, it is important to realize that every option is different and, while some are going to be no problem for you, others will be just the opposite. In most cases, you can expect to be asked if you have a high credit score and a good credit history. Without these two things, a quick loan is going to be impossible to receive for 90% of people with low credit or bad credit.
Your bank loan options include:
- A higher limit or additional charge on your credit card.
- A second mortgage or home equity loan.
- A home equity credit line.
- A traditional loan (unsecured loan).
- An overdraft loan on your checking account (what is unavailable from your account is charged to your account and owed to the bank).
- Credit union loans - If you have poorer credit, or are in need of help that a bank will not give you, then you might want to consider going to a credit union. Many times a credit union will have similar loans, but will be more willing to work with you than a bank would be. The type of loans that a credit union has will largely depend on the credit union. If you are a member of a credit union, your best bet is to inquire as to the financial help they can offer and see if any of the options they have will suit your needs.
- Payday loans - Payday loans are perfect for people who need easy cash loans fast but have little credit, no credit, or bad credit. The basic payday loan company does not do a credit check. The only real requirements are that you have a checking account and have had your job for a minimum amount of time (usually three months). Depending on the amount you need you can have the money anywhere from an hour to 24 hours after you have applied.
The problem with payday loans is that they typically are not going to make your situation better. In fact, they will probably make your situation worse. The average loan comes with steep interest and the need for nearly immediate payment. You should consider your options very carefully before you even think about going this route.
If none of these options suit you or are able to give you the entire amount you need, you might want to consider alternatives. Simple things like a garage sale or selling something on an auction site like eBay can give you the money you need quickly with no one to pay back. While you might not want to part with your material possessions, doing so could be very worthwhile if it can help you get out of a bad situation without owing plenty of money for years to come.