Three Way to Access Emergency Cash

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If you run into a situation where you need money immediately, you may have to find ways to gain access to emergency cash. There are many sources where you can find money for emergencies. If you have found yourself in a difficult situation where you need cash now, consider the three following ways of accessing emergency cash.

Credit Cards

Credit cards are a great option when you need cash immediately. You can use credit cards almost anywhere to make payments and purchases. If you can’t wait until payday to pay for emergency expenses, you can make purchases with your credit card, and then use your upcoming paycheck to pay off the bill. Plus, if you pay it off on time, there will be no interest charges.

Credit cards, however, also have a downside. For one, many people either don’t have a credit card or don’t qualify because of their credit score. Plus, some credit cards can have a low limit, so you may not be able to access as much cash as you need. They can also have high interest rates, so this is not an ideal choice if you don’t have the means to pay your bill on time.

Savings Accounts

The great thing about savings accounts is that you are accessing your own money. Because of this, you don’t have to worry about paying bills or high interest rates. If you have your own savings account, you have easy access to cash, and the only limit is the amount of money you have saved up.

The problem with savings accounts is that you have to work for them. If you run into a crisis and don’t have enough money saved up, then you have to turn to a different method of acquiring emergency cash. However, you should take this into consideration and try to save up some extra money in case other emergencies arise in the future.

Loans

Applying for a loan is a good option for those people who aren’t eligible for credit cards and don’t have much money in their savings account. These loans, such as Great Plains Lending’s online personal loans, are an excellent choice for accessing emergency cash. You can usually get enough money to help in an emergency, and there are many benefits to loans like this.

Personal loans such as this allow you to borrow up to $1,000 or more, and the company will usually transfer the money into your bank account as soon as the next business day. Also, many personal or payday loan companies don’t require a credit check. So if you are having trouble getting approved for a credit card, you may be able to get a loan.

Be wary when you borrow money through loans though. Since they are being given in such small amounts, you cannot consider this as the first choice when it comes to financial advancements. They are merely for emergency purposes only and nothing more.


4 questions to ask when applying for a loan

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We all need and use money every day. But it turns out all money isn’t the same; aside from the denomination, it also comes in different forms, shapes, and sizes. Have you ever found yourself trying to park on a city street? All you need is a simple nickel, dime or quarter for the parking meter but you just don’t have one on you. You may have hundreds of dollars in your wallet and credit cards that would allow you to purchase thousands of dollars’ worth of merchandise. But with this parking meter, it doesn’t mean a thing.

Image by epSos.de via Flickr

Then there are the other instances when your money isn’t enough. We have a pocket full of change and that’s about it. Even if you make a nice salary, it can seem like only a few coins in your pocket when it comes to big purchases. When you want, or need, to buy a car or house, the chances of paying for them with cash from your account is slim to none. This is when it’s time to look for a loan.

Depending on your circumstances or the financial emergency you’re in, you could visit one of the cash advance lenders who have locations around town. This is perfect if you need some quick cash but plan to replay it just as quickly on your next payday.

Before you do any transaction, you must look at your financial affairs and be prepared to provide that information to the lender. When you are ready, here are four questions you should ask when applying for a loan.

1) How long will it take to process and approve the loan?

Simply put, when will you have the money in hand or in your account? If you are looking to buy a house, a mortgage loan usually takes 30 days minimum to complete. So don’t start packing your belonging just yet. If you are trying to borrow a smaller amount it can still take up to two weeks to finalize everything. You can window shop for cars but don’t start negotiating until you are have the money ready to go.

2) What documentation to do I need to furnish for the loan?

As nice a person as you are the bank still wants a paper trail. Expect to provide recent paycheck stubs, savings and checking statements, and 401K statements. If you have another loan you are currently repaying, you may be asked to provide details of that transaction as well.

3) What are my monthly payments?

To prepare for your budget, you need to know the exact amount you will need to pay every month and if that number will ever change up or down for the duration of the loan.

4) Is there a prepayment penalty?

Hopefully you can add a few dollars a month extra to your payment and cut down the repayment time by a few months. Find out before you do that if there is a surprise fee coming your way.

These questions will get you started on your way to get your new loan.


Who does not have a loan? Raise your right hand!!

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Actually , this year I fearlessly applied for two loans . One to pay-off our house mortgage since the developer offered a 60% discount if it will be fully paid in cash. Financially wise it’s a good offer I was able to resist because aside from the big discount, I can have the Certificate of Title which I longed to have for years now.Second, I have to apply for a loan to pay in cash half the price of our Mitsubishi Adventure. The original owner ( who is a close friend too!) offered the SUV at a very good price. I was hesitant at first but due to the need to have a bigger ride, me and hubby applied for another loan.

This is a leap of faith! Praise God each month the total amount of amortization is paid on time . Thanks to God for our online income.


Reduncy of charges at FICCCO

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I am currently here at the office of FICCCO attending the Loan Briefing. While waiting for the one-on-one personally interview, I took the time to update my blog.

The assertive me can not help but to ask questions regarding some redundancy of member’s insurance deduction and the service fee which is too high at 2.75%. Ficcco should review their Petty Cash insurance deduction. I expressed my view that Petty cash should not be deducted with Loan Insurance since the duration is short. The loan also is already insured since any delayed payment will be automatically deducted from the savings. The 2.75% service fee also is too big . I suggest to have a bracket depending on the loan amount. Like for application, the Service Charge would amount to P 6,800.00 for a loan of P 250,000.00. Service Charge should be fixed since the service rendered for a loan of P 10,000 and a loan of P250,000.00 is just the same. I guess I have to attend the General Assembly this coming March 2011 for my voice to be heard. What do you think?