Unexpected job loss, emergency medical treatment or emergency plumbing issues, these are a few of the many emergency situations that can leave you strapped for cash. In situations like these, you may have to gather money quickly in order to put your life back on track. Although there are many different ways you can get funds to take care of the emergency situation at hand, the best option, however, remains the same – save up some cash from your monthly paychecks to avoid going into debt. However, if you are not good at saving money or your pay package does not allow you to have extra savings, here are some ways you can get your emergency funds when you are in a pinch:
Borrow From Family and Friends
When faced with a financial emergency, the least risky method of borrowing money is to ask a close friend or family member for help. Although this option may seem awkward and embarrassing, a friendly loan from a loved one is one of the best ways, in a financial sense, to get you through the hard times. In order to develop trust and understanding, both parties (the lender and the borrower) can sit and determine the terms and conditions of the loan. You do not have to wait for any loan approvals and it won’t hurt your credit history if you are late in re-paying the loaned amount. However, the risk is that you may sour the relationship between you and the borrower should you fail to repay the loan on time.
Cash Advance from your Credit Card
A credit card cash advance is basically a form of a loan that you get from the company or bank that has issued the card. You will usually get the credit card cash advance in the form of a check or ATM access. This is the best option for you if you need cash quickly and you know that you will be able to pay it off quickly. However, you need to keep in mind that you may end up paying a lot in terms of high-interest rates and over-limit fee on a cash advance.
Banks and Credit Unions
If you have a good credit score, you may qualify for a number of loans to deal with the financial emergency at hand. What’s so good about the banks and credit unions is that you will be able to get the money with an APR that will be considerably lower than other options. However, the only drawback while using this option is that the money is going to take a long time to reach your bank account since the loan approval process usually takes a lot of time. So, if you can afford to wait for a few days or weeks, you can use this option.
Instant Cash Loan
As the name suggests, this is probably the quickest way many Singaporeans can get a loan when faced with a real emergency. With instant loan approval by the legal moneylenders, you do not have to wait for days or weeks to get your funds from an instant cash loan in Singapore. The loan approval process is also simple and does not require as many documents as banks would require.