Emergency cash loan strategies

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cash loan strategiesIf you need emergency cash loans, you should have a strategy for getting the best deal possible. Your strategy:

Research. Even if you are truly in a difficult spot, you will want to do some research before applying for payday loans or cash advances. There are loan scams out there and you want to avoid them. Find a reputable payday loan or emergency loan company and find the cash advance with the lowest fees, interest, and the best terms.

Narrowing your options. Take a look at your options. If you have a home, you may be able to avoid unsecured loans entirely and therefore get a more affordable loan. Determine how quickly you need the money as well – this can determine whether you need to apply for online payday loans or in-house loans.

Developing a repayment plan. Before you take out emergency cash loans, you should know exactly how you will repay the loan, in full, on time. Delaying repayment can cost you big with payday loans, so make sure you have a plan in place.

Applying. Once you have your facts in place, go ahead and apply.…

Not all personal loans are the same

Leigh WellsLeave a comment

If you want to get out of debt, you must understand that there are in fact two types of debt or credit: installment debt and revolving debt. Installment debt is usually used to pay off a large purchase, such as a car. A mortgage is also a type of installment debt. In this type of debt, the borrower pays a set amount each month until the loan is paid off with interest. Installment debt is often seen as a less problematic form of debt, because there is specific date on which the debt will be repaid. As well, installment debt can make a lot of sense. For example, if you have the money to purchase a house outright, you may still wish to take on installment debt and invest the money you have saved up. This will often yield a better return on your investment over time, especially since installment debt tends to have relatively low interest.

Revolving debt or revolving credit is a type of credit that can be used repeatedly. The borrower is given a limit and may charge any amount up to that limit. The borrower can then repay part of the amount, make more charges to the account, and repeat the process. Lines of credit and credit cards are examples of revolving credit. Revolving credit tends to have higher interest rates than installment debt and tends to be the type of debt that gets people into trouble, since some people pay only the minimum amount on their revolving debt each month and therefore end up extending the repayment term and end up paying a great deal in interest while remaining in debt. If you have two types of debt, it is a good idea to focus on repaying your revolving debt (in full) first.…

Paper or plastic?

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Paper or plasticIt used to be a question asked at the grocery store, but now it’s a question that you may want to ask of your finances, too. Paying with paper (cash) or plastic (debit or credit) has its advantages and drawbacks. To determine which is right for you, consider.

Savings. There are studies suggesting that people spend less when they pay with cash, compared to debit or credit. However, there are some great new debit card options which allow you to round up your purchases and put the difference in a savings account, so over the course of a month you can painlessly make contributions to your emergency fund.

Control. If you carry cash and pay only with cash, you have a built-in control mechanism – when the cash runs out, you have to stop spending. Plastic lets you keep spending, but you can easily keep track of how much you spend and where the cash goes through online banking.

Benefits. Plastic comes with some benefits. If you pay with credit cards, for example, you may be able to get additional warranties on your purchases as well as built-in protection in case you get taken for a ride by a retailer. Many cards allow you to collect points for rewards, too.…