Are you thinking about borrowing money? Lucky for you, there are plenty of lending options these days. You just need to carefully check their requirements and their terms. Today, it’s no longer shameful to admit that you need to borrow money whether it’s from family, friends, or other financial institutions.
Some people are lucky because they have multiple streams of income while others receive a hefty inheritance from their parents but for the unlucky ones who don’t have enough cash to cover certain and unexpected expenses, the only way to make it is to borrow money.
Where can you borrow money? There are tons of ways to get cash fast. Financial experts agree that where you get your money from should depend on your situation. Let’s check out some of your options.
#1 Family and Friends
Borrowing money from family and friends is going to be tough on you especially on your pride but when the situation requires it, you just have to toughen up and ask your family and friends if they can lend you money. It’s also a safe option. However, you should be clear by putting your agreement into writing, set a reasonable interest rate, and create a formal plan that indicates the due dates for the payment and how much you’ll charge for late fees.
#2 Advanced Paycheck
If you’re working, you can request an advanced paycheck from your employer. You may ask to have your paycheck sent earlier than scheduled. When you borrow money this way your employer will usually deduct the amount you borrowed on your next paycheck. There are employers who will charge you with a fee either that or they’ll limit the number of times you can request a cash advance. If you are laid off or if you are planning to leave your job it is your responsibility to make sure that you pay the amount you borrowed before you leave.
#3 Credit Card Cash Advance
Are you aware that there are credit cards that allow you to withdraw money from the bank or ATM as long as you have credits available? You will have to pay a transaction fee on top of the interest rate and these are usually higher than the APR. The amount you can borrow will not go beyond your credit limit.
#4 Payday Loan
If you are looking for short-term loans, a payday loan may be worth considering. This is the perfect loan if the money you are borrowing is less than one thousand dollars. As the name implies, your payment will be on your payday but you’ll be charged with a fee. Unfortunately, payday loans are notorious for having high-interest rates. If you apply for this type of loan just make sure you can pay it off.
#5 Online Loans
Online loans are quick and easy to apply. There’s also a high chance that your application will be approved fast. All you need is to fill in the details on their online application form. You can borrow from hundreds up to thousands of dollars. It usually just takes a couple of days for the money to be deposited into your account. This type of installment loan offers a fixed regular schedule for payments and it can be completed over the course of months or years.
There’s no harm in borrowing money especially if you are going to spend it on a good cause like education, medication, and emergencies. And while it eases your financial burden at the moment, you should focus your efforts on paying off your debt, otherwise, it will cause you more stress if the interest rates are compounded.