At one time or another, we have all experienced the gut-wrenching panic of an unexpected financial emergency. Maybe your car broke down, and you need a tow, or you have a medical emergency that leaves you with an unanticipated bill; either way, most of us have experienced the need to find cash in a hurry.
The good news is that if you find yourself in a financial bind, you have a few innovative ways to get the money you need fast. In some cases, you can have money in your hand in less than an hour with e-transfer payday loans. Below, we’re going to look at several smart ways to find emergency funds when you need them and how to avoid money problems in the future.
Credit Cards
The most obvious and convenient way to find money when you need it is through your credit card. While you may only use your credit card for small or online purchases, it’s good to know that you have available funds in an emergency.
However, if you need to use your cards to cover unexpected expenses, it’s important to prioritize a repayment plan. Credit cards often come with higher interest rates, so paying down your balance as quickly as possible is a good idea to avoid extra charges.
If you want to use your credit cards as an emergency fund, talk to the broker of your lowest-interest card and see if you can increase your limit. Once you have a higher limit, put that card aside for emergencies only.
Online Payday Loans
Thanks to modern technology, you can apply for a payday loan and get paid online. This means you can apply for funds when you find yourself in a sticky financial situation. With a regular source of income and your I.D., you can apply for an emergency payday loan on your home computer, laptop, or smartphone.
While payday loans are undoubtedly fast, they should be treated with caution and a solid repayment plan. With the inflated interest rates that accompany most payday loans, it’s easy to get in over your head and own more than you can repay. If you need emergency funds, only request a payday loan amount that you can comfortably handle in your next pay period.
Sell Items
Most of us have more things than we need. If you need some fast cash, selling your unused items could be the key. Take a close look at your home and decide what you could sell. Some items to sell include:
- Used books
- Artwork
- Designer Clothing
- Sporting equipment
- Electronics, including smartphones, tablets, laptops
- Handmade crafts
If you have never sold anything online or otherwise, it’s easy to get started. The first place to start is with your social media accounts like Facebook Marketplace. You simply take a photo of your item for sale and post it online. Anyone interested will contact you directly to make a deal. Other sites like Letgo, Kijiji, and Poshmark are effective online platforms for selling your items for cash.
It should be noted that when selling to a stranger, staying safe is essential. Never invite anyone to your home, or go to a private residence to pick up an item. Always choose a safe and neutral location, like a public parking lot.
Secured Title Loan
If you own a vehicle, you can access a secured title loan when you need money quickly. Secured title loans are short-term contracts where you hand over the clear title of your vehicle in return for a loan. You can borrow up to your vehicle’s appraised value. On condition of timely repayment, you will maintain possession and ownership of your vehicle. You will forfeit your title if you do not meet your repayment terms.
Title loans are an excellent way to get money in just hours while still driving your car. Title loans are only available to vehicle owners. They are not available on leased or lien-ridden vehicles. Secured loans are the easiest to get because they rely on your collateral item’s value. You don’t have to have a car to get a title loan. You can put up anything valuable as collateral for your loan, including such items as:
- RV’s
- Boats
- ATV/UTV
- Artwork
- Investment portfolios
- Antiques
How to Build Your Emergency Savings
If you only learn one thing from experiencing a money emergency, it should be the critical importance of growing your savings. Dedicating part of your regular savings to an emergency fund could make the difference between finding an easy solution to your next problem or disaster. Let’s take a quick look at a few strategies for building your emergency fund.
Airbnb
- If you have an extra room or want to build a tiny home in the yard, you can make decent money renting your space on sites like Airbnb and VRBO.
Freelance
- If you have creative, educational, or technical skills, you can work independently on the side as a freelancer. Sites like Craigslist and Upwork have thousands of postings looking for freelancers from all industries.
Etsy
- For those with a creative streak, designing your own craft items or jewelry to sell on Etsy is a great way to make some extra cash for your emergency fund.
Online Surveys
- If you have spare time but no creative skills, you can make extra cash by doing online surveys. You can visit online sites like Swagbucks.com or SurveyJunkie.com to find fun and informative surveys to complete for cash.
Yard Sale
- If you look around your home, you will find many items you don’t need. From old clothes and books to outgrown kids’ sporting equipment to old appliances, there are tons of things that you could likely get rid of and make a bit of money for your emergency fund.
No one is exempt from financial crises in the uncertain economy and on the heels of a devastating global pandemic. The key to staying calm is knowing that you have options. Any methods we have explored will help you get the cash you need when an emergency hits unexpectedly. To brace yourself for future financial hits by building your emergency fund is the best way to stay on top of your financial health in any situation.
