Financial emergencies can occur for all sorts of reasons, and when you don’t have enough to make it until the next paycheck, it’s easy to panic. Often, you just need a small amount, a few hundred dollars to make ends meet.
All sorts of things can happen unexpectedly. A check could bounce putting you in the red. You could have fallen for a scam. You might have missed a few car payments and now risk having your car repossessed. Or you’re a hundred dollars short on the rent.
Fortunately, there are many ways you can resolve your situation quickly. Here are a few suggestions:
1. Borrow from someone you know.
If you know someone who is willing to help you out, you could borrow the money. Although you may have to swallow your pride, a family member or friend might be more than happy to help you out if you can summon up the courage to ask. Naturally, you should pay them back as quickly as possible to maintain good relationships.
2. Get a quick loan.
If you don’t know anyone who is willing to help you out, another option is to look for available online installment loans, particularly alternative options to payday lending. Some of these personal cash loans can be up to $1,250. Unlike bank loans, funding is fast and repayment schedules are often more flexible. Moreover, you don’t have to provide collateral. All you need to apply are three things, a verifiable source of employment or income, an active checking account, and a social security number.
3. Sell something on eBay.
If you have something valuable that could fetch a good amount of money, you could sell it on eBay. Collectibles do particularly well on this online auction site.
4. Have a garage sale.
Another idea is to rummage through the house and find enough things that you don’t need anymore and put them up for sale over the weekend.
5. Get a side hustle.
You may be able to do some work for someone for some quick cash or get a temporary part-time job.
Preventing Future Occurrences
Once you’ve put your problems behind you, it might be prudent to examine your financial situation to avoid going through another similar nerve wracking experience in the future.
Usually, when you have a financial emergency, it’s for two reasons: one, you don’t have enough money coming in; or, two, you have too much money going out. And, of course, it could be both things occurring at the same time.
With that in mind, here are some ways to improve your financial situation:
1. Review your source of income.
Your financial situation could have been due to the fact that you’re underearning, that is, earning less than you need to manage the cost of living. Think about what you can do to improve your earning ability. Does your company offer any training courses? Do other companies in your industry pay better? Do you need to go back to school to get advanced certifications? Rather than simply accept your current job as your only income option, see if there are ways you could improve your situation in your current company. If not, then think about what other ways you could get a better paying job.
The fastest way to increase your income is by acquiring new knowledge and skills. The other alternative is to acquire more experience and gain seniority, but that could take a long time.
2. Review how you manage your money.
Another possibility to examine is to see if you are spending more than you need to balance your income and expenses. You may be living above your means without realizing it. Some ways to manage your money better include planning a budget, saving up to create an emergency fund, planning big expenses ahead of time, and tracking where your money is going.
A Wake-Up Call?
Financial emergencies are distressing, but rather than simply dusting yourself off after one, you could use it to motivate yourself to change your financial destiny.