We live in a world where money dominates over everything else, without which man cannot survive. Be it for basic necessities or even to live a luxurious life. From our school days, we are educated and prepared to face the world and become self-sufficient, which means earning and supporting ourselves. However, there does come a point where this simply isn’t enough. It could be due to a crucial situation where the money is needed urgently, and you don’t seem to have enough of it in hand.
A lot of people prefer to avoid having to borrow because this means an additional load that will have to be paid off. Something that nobody likes doing, but when push comes to shove, there are only a few new payday lenders that are willing to give you the amount you need as soon as possible. This could be from an agency or business or even from a more personal level. If all other bridges have been burnt, here are a few alternative ways to borrow money quickly:
In simple terms, payday loans are among the easiest and fastest ways to borrow money. This basically means that any new payday lenders will lend you a certain amount of money within an hour of requesting the loan. This amount is necessary to look after for a few weeks to a month till your next salary comes in. Once you receive your payment, the lender can deduct the amount from your debit card. However, sometimes there is an option where the lender will allow you to pay over a longer period- up to six months.
These loans usually range between £ 100 and £ 1,000 and are often used for emergencies.
For those looking to borrow a larger amount than a payday loan can offer their next best choice to choose an instalment loan. With an instalment loan, not only are you receiving a larger some, but you will also have a longer period to pay back the loan. This period generally ranges from 3 months to 84 months, based on how quickly you can pay the amount back. Often at times, these loans are used to cover large payments, like for a wedding, purchase of a car, paying the monthly rent or lease, and so on.
Line Of Credit
Also known as a credit line, this acts as a source of extra finance, mainly available for businesses, the government, and certain individuals. A line of credit is simply a way for them to obtain extra money as additional income. This can be considered as a more flexible option that has a maximum limit. Those who opt for a line of credit are allowed to borrow as much cash as required until they hit that limit. However, this limit is always decided based on a person’s income as well as their credit history.
A line of credit is often the best choice, especially if a person is not sure about how much cash they need to borrow. Not only do they receive it within the same day, but an interest amount is applied only to the amount that was borrowed and used.
A logbook loan is similar to that of a title loan available in the US. In this situation, a person looking to borrow money urgently gives the ownership of their car as collateral. The money is often received within an hour. The borrower still maintains usage of their vehicle; however, they do not own it for the time frame. The loan amount is generally based on the type of car, model, and condition that it is in. If a borrower defaults on paying back the loan, the lender can seize the vehicle and sell it, keeping the amount made from the sale.
However, unlike how it is in the US with a title loan, the lender isn’t required to show a court order when seizing the vehicle in a logbook loan. The loan period generally falls within 3 months to 36 months.
Emergency Cash Loans
Similar to that of a short term loan or even a pay day loan, emergency cash loans are basically required for emergencies. This could be a trip to the hospital, paying off the electricity bill, or even for car repairs. However, unlike the other two, this type of loan is done with a minimal amount of paperwork. Though the loan may be less, this is often the case of having a higher interest rate. That is why it is better to choose a payment scheme that allows you to repay the loan within a minimal amount of time.
It is smarter to apply during office hours as the wait time is lesser and you receive your loan within a minimum amount of time.
Apart from these pay day lenders, there are other options of borrowing money quickly. This could be from a family member, pawning a piece of jewellery, or even cash advance lenders. However, it all boils down to how urgently the money is required and how quickly a person can pay it back. Keeping in mind a person’s income and credit status, the rate of interest given ensures that a person can make their payment and still have enough left for themselves.