Please have an emergency fund. Please, please, please have an emergency fund. This is one of the most important things in order to be frugal, because without an emergency fund you can get into big financial trouble if you don't have a financial cushion for that. But let's say you don't have an emergency fund, what do you do if you have an emergency and need immediate funding? Here are some things you can do.
Are you facing an emergency and don’t know how to find funding? Maybe something has come up, and you need cash to pay for it? Life can throw a lot of things at us, and emergencies are bound to happen. If you are facing an emergency use the tips below to help you find the money you need.
Pause Before Any Big Decisions
During an emergency, it can be easy to rush into things. For example, if your car breaks down, it can be tempting to trust the first mechanic you find to do the repair. However, when you make rushed decisions, things can go bad quickly.
When dealing with big decisions, it is always a good idea to take a moment to reflect. This could end up saving you lots of money if you do. Pausing to get your mind right will pay off in the end.
If you are having trouble making a big decision, you may want to ask a friend for help. Many of your friends or family members have probably faced an emergency like you are going through. They will be able to offer you advice which can help you make better choices.
Evaluate Expenses
Facing an emergency can be super stressful and downright scary at times. One of the first moves that you should make is to evaluate your expenses. Start by looking at how much you need to spend each month. Chances are, you can cut back on some things to help pay for the emergency.
Additionally, take a look at what money you have saved. You just might have enough money to cover your emergency without going over budget.
By evaluating your expenses, you will know where you stand financially, and you will be able to make better decisions. You may even want to speak with a financial planner to help guide you in the right direction. Many non-profit organizations will provide this service free of charge.
Contact Your Credit Card Company
There are two different reasons you should contact your credit card company during an emergency. First, you should call them and see if they can wavier your monthly minimum payment. Some credit card companies will give you a pass on one month's payment.
Another reason to contact your credit card company, is to see if they will give you a raise on your credit limit. This extra credit can help pay for any emergency you may be facing. While using your credit card is not the best option, it can be a way out of a bad situation.
Take A Look at How Insurance Can Help
If you have life insurance, you may be able to borrow money from the policy. Some life insurance plans will let you borrow from the money you have built up in your account. This should be a last resort for funding, but if you need money now, it can provide you with the cash.
Keep in mind, if you do borrow money from your insurance policy, it will take several years for it to be replaced. So, this might affect the amount your loved ones get at your departure.
Consider Taking a Quick Loan
One of the best ways to get quick cash in an emergency is by taking out a quick loan. These loans are designed for emergencies and are perfect for those in serious need of cash.
All you need to do to get a loan quickly is to fill out a simple application form. Most quick loan lenders don’t require you to have perfect credit or put up anything for collateral. This is good news if you have less than great credit.
These loans can provide you with up to 1,000 pounds or more which can be very helpful. To find out how much you can borrow, contact the lender and enquire how much you can take out. Most will give you a quote that won’t affect your credit score.
The Takeaway
The tips above can help provide you with funds during hard times. Remember that there is more than one way to get the money you need. To get the money fast you should consider getting a credit increase or take out a quick loan.
No comments:
New comments are not allowed.