Debt Loans

I Need Money Now

We all know what it feels like to be short on cash and staring at a mountain of bills. Regardless of how much we plan or save, we all can experience tough times. Things like emergency expenses and job loss can put us in a tight financial spot. This can put your ability to pay for life’s necessities in jeopardy.  And having bad credit can make it even more difficult. Read on if you’ve recently said to yourself “I need money now!”

You may be broke, but those obligations don’t care.  The problem is simple to identify, but not so easy to fix:  You need money. Not now. But right now! 

Below, we’ll share a few options that may help you get cash when you need money fast.

Fast Cash Loan Options  

Credit Union 

Credit unions are not-for-profit financial institutions that provide services that a commercial bank may usually offer. If you’re able to join a credit union, they may be able to help even if you have bad credit.

If you’re a member of a credit union, you may already be aware of the advantages they offer. Particularly, in offering low-interest rate loans. 

They do usually require a loan application process like a bank. But credit unions pay less attention to your credit score. More often, they look at things like your annual income and credit history when considering approval. 

When approved, loans from credit unions may arrive in just a couple of days.  

If you are eligible for membership—whether it’s through work, labor union, or family—you may want to consider joining a credit union. In addition to short-term loans, they are great financing options for purchases like cars and homes.  If you are eligible for one, you may be able to get good short-term loans from a credit union.

Credit Card Cash Advance 

If you have a credit card, turning credit into cash can be as easy as going to an ATM.  In addition to goods and services, many credit card companies offer cash advances to their customers. This can be accessed just about anywhere you can withdraw money out of a bank account. 

Be aware that the interest rates on cash advances tend to be higher than the interest rates on purchases. They also typically have limits on the amount of money you can withdraw. It is also very important that you don’t make a cash advance that will overdraw your line of credit; that action could result in additional fees on top of the ones already associated with the advance. But if you need money quickly, and you can pay it back quickly, this could be a good option.

Home Equity Loans and HELOC

If you are a homeowner and need money, you might consider selling your home.  But before you hang a “For Sale” sign, you might want to explore a couple of other options. Home equity loans and home equity lines of credit (HELOC) may be better options.

Home equity is the difference between the amount of money a person owes and the value of the home itself. Suppose someone buys a house with a $100,000 mortgage loan.  Over time, the value of that house increases to $150,000.  The equity in their home is $50,000. 

Secured by the property, a home equity loan can be issued with a lower interest rate than many other loans. The funds are dispersed in a lump sum, with a repayment schedule attached. When approved, these loans usually take only 2 to 4 days to deposit.  

On the other hand, a HELOC treats that same $50,000 as a line of credit. Instead of taking the entire amount, the homeowner can access only as much of these funds as they need to.  

Interest rates on home equity loans and HELOCs may be fixed for years and then feature variable rates. Their ability to help you carefully manage your investment makes HELOCs great options for people experiencing short-term financial problems.

When looking at maximizing your home’s equity, it’s important that you have an understanding of your home’s value.  Research the value of your neighborhood, see what homes in your area are selling for, and get an updated appraisal.

Payday loan 

A payday loan—also known as a payday advance—is a short-term loan to help you with a short-term financial problem. They’re designed to help borrowers stretch their money to the next paycheck.

A payday loan involves writing a check to a lender for the amount you want to borrow—plus fees and interest.  The lender then advances you the money immediately—via cash or electronic transfer—so that you can spend money now. 

The lender holds the check and then cashes the check on or after the borrower’s payday. Payday lenders also operate online, and usually only need a valid ID, checking account, and proof of income to apply.  

Despite the simple access to payday loans, there are a couple of steadfast characteristics that consumers need to understand: 

They have higher interest rates than other loans

Since they don’t require the borrower to put up any collateral (like a home or car) to secure it, payday loans are considered to be very risky. For virtually everyone who uses them, payday loans will create an overall net loss, so they should be considered very carefully against your long-term financial goals.  

They can have complex terms and conditions.

Like any other loan, payday loans are issued with a specific loan term, or the amount of time the lender gives the borrower to pay the loan back.  Those terms can also be adjusted to allow the borrower to pay back the loan in installments over a fixed period of time.  If the borrower cannot adhere to the lending terms and isn’t able to repay the loan on time, the lender will roll over the loan into a new agreement, which will add more fees, interest that will increase the amount of money the lender ultimately owes.    

Even with those realities considered, payday loans can help people who have bad credit with critical infusions of cash when they desperately need it most.  For those that may have experienced financial setbacks in the past, a payday loan can be a lifeline for people that can’t turn to banks, credit advances, or other traditional lending options for help.

The approval process for payday loans doesn’t typically require a credit check, which gives people with bad credit who need money more of a chance to get the cash they need.

Payday loans are highly accessible and are becoming better regulated to make fees and terms easy to identify and understand.  If a payday loan is right for you, make sure you take the time to review your options and learn all the details that you can before (carefully!) jumping in.   

How to Make Fast Cash Without Getting a Loan 

If you want to avoid repayment schedules, loan terms, and interest, then getting a loan of any kind may not be the best option for you.  Lots of people have an understandable hesitation about creating more debt in order to get out of debt.  While earning the money you need is going to take more work than borrowing it, there are a few things you can do to get cash fast.  

Sell, Sell, Sell!  

Your need for fast cash may be just the motivation you need to finally get that garage sale organized!  There could be tons of treasures hidden in the stuff you just don’t want anymore, which makes selling your old, unwanted stuff one of the most profitable things you can do – after all, taking your unwanted things and selling them on your lawn requires no overhead cost! 

If you are without a lawn (or any patience for haggling hordes of neighbors), there are less labor-intensive ways to turn your old stuff into new money. 

Bag up your old clothes and take them to your nearest consignment shop, where they’ll sell any of your clothes for you (for a small share of the profit, of course). You never know; that old sweater you’ve been holding onto for years may just be the must-have vintage look of the season!   

If you have old phones, tablets, gaming consoles, or laptops, you can sell them online on sites like eBay, Swappa, or Facebook Marketplace. To get same-day cash for electronics or other items like jewelry, you might want to consider selling them at a local pawn shop. 

Instead of selling your things outright, pawnshops will lend you the cash value of your item, and will just keep the item as collateral if you don’t repay the loan.  

Hustle Hard With a Side Gig (Or Two)

If you need money, you need to make more money. 

Picking up a part-time job is how most people quickly fill their pockets with the extra cash that they need.  Places like warehouses, grocery stores, and restaurants often hire within the same week or even the same day. Some offer flexible hours and evening shifts that can complement your full-time job. 

If you have a reliable car, rideshare apps like Uber and Lyft are always looking for drivers to partner with. They offer an opportunity to work whenever you want (somebody is always looking for a ride somewhere!).  Many people who take that route also sign up with food delivery companies to maximize their time on the road.  

There are also tons of opportunities for skilled professionals to take their skills to the open market as a freelancer, working with private clients on various projects.  For example, a chef may offer private in-home catering, or a journalist may work as a copywriting consultant. 

Websites like Upwork, Fiverr, and TaskRabbit are full of jobs that require dozens of special skills and certifications and allow freelancers to connect with clients to build long-term and lucrative relationships.    

And don’t forget:  Even in our high-tech, super-connected age, some people still have trouble finding someone to do those odd jobs: move furniture, walk their dog, or help with errands running or tasks around the house. 

Sit down and make a list of all the things you can do, and then reach out to your neighbors and social media networks to see if they could use your assistance.  With a little self-promotion, you could fill those helping hands of yours with some much-needed quick money.  

Ask, and You May Receive 

Crowdfunding—the act of raising money through small donations from a large audience of supporters—has become increasingly popular in recent years. They were once used to start small businesses and raise funds for charitable causes. Now, sites like GoFundMe and Plumfund give people the opportunity to help each other out. You can send money to cover bills, rent, and unexpected medical expenses, or emergency car or home repairs.

When taking this route, make sure that you do some research to see how others solicit donations.  The most successful crowdfunding campaigns share specific goals for their donations. They also effectively use social media, and keep their message simple, honest, and personal.

Additionally, organizations in local communities offer assistance to people who need money for rent, groceries, and utility payments. A simple search for hardship assistance in your area could provide not only immediate relief but can point you to resources for job searches and educational opportunities.  

Sometimes, life presents unexpected challenges that bring unexpected hardships. As you find a path through your short-term financial problem, remember that access to quick cash comes complete with lasting consequences. Especially if you already have bad credit.

But, if you make yourself fully aware of those consequences and meet them with strong financial planning tactics, you can guarantee that your temporary need for cash won’t hinder you from building your future.  And if you find yourself saying “I need money now,” try any one of these solutions to get the cash you need.

References:
https://www.investopedia.com/articles/personal-finance/101315/7-smart-ways-raise-cash-fast.asp

https://www.cnbc.com/2020/07/01/need-money-find-cash-in-these-unexpected-places.html