Emergencies happen, unexpected expenses catch people off guard, and immediate needs arise. Going to an automatic teller machine (ATM) to withdraw money out of a savings accounts to cover those costs is a luxury most people do not have today. Spending every penny, living paycheck to paycheck, or obtaining the newest versions of electronics leaves people with no extra money in case of an emergency.
If the emergency or need crops up on a week day, it may be possible to get a low interest loan from a bank or credit union. That is the next best solution in the absence of savings. A simple loan for a minimal amount is not difficult to get quickly from a traditional lender, if a person can get approval.
Borrowing the money from a family member is also a quick fix, if that is possible. Friends may also be an answer to getting money to address immediate needs. Be careful when pursuing informal loans as they may result in strained relationships. Paying that money back too slowly, or not in full can be the end of a friendship.
To avoid having a utility shut off, speak to the company and see if payment arrangements can be agreed upon. Most companies will work with individuals instead of disconnecting the utility. As long as payments fit into the budget, there should be no problem moving forward.
When All Else Fails
Applying for an installment loan from a direct lender is an option when all else fails. Try everything else first to avoid this route. Interest rates will be very high so do not take out this type of loan unless it is absolutely necessary.
Car repairs to get back and forth to work, a medical emergency, or bail money are examples of immediate needs. Getting away for the weekend, buying the latest game system, or throwing an elaborate party are examples of indulgences and are not worth taking out an installment loan.
Installment loans also carry stiff penalties for late payments, which can begin a vicious cycle of unending debt. The advantages include a short application process and high approval rates. Payments can be made over a six month period. Those in dire need can learn more here.