What To Do When you Need Money Immediately

While we all hate the thought of not being able to pay our bills on time, more Americans are finding themselves stuck in a difficult situation when it comes to their finances. Whether it is because a member of the family recently suffered a job loss, a decrease in pay, or an unexpected bill that was not budgeted for, many find themselves burdened with a high level of stress that causes them to seek out any means possible to obtain the cash they need to cover their expenses. While many options exist to help you accumulate some extra cash over an extended period of time, very few options are available when you find yourself in the situation that I need money today. Before you throw your hands up in the air in despair, here are a few of the most popular options that can help you get the money you so desperately need when you need it most.

First, consider asking your friends or family for some financial help. If you have recently hit a patch of bad financial luck due to a job loss or decrease in pay, there is a good chance that those who love and care about you will be sympathetic to your financial situation. If you only need a small sum of money to tide you over until your next paycheck, don’t be afraid to ask your friends and family for help. Just don’t expect that the money they give you will be a gift. Although they may not say it, there is a good chance that they will expect you to pay back the money that they lend you in a timely manner. In order to stay on good terms, it may be in your best interest to draw up a lender contract and specify what your expected repayment date may be. You can choose to repay with interest or not, but when you put it in writing it goes to show that you are serious about making good on the loan when you get back on more stable financial footing.

Lastly, consider opting for a payday loan. If you don’t want to ask your friends or family for help simply because you do not want to be judged for your financial problems, you could always consider applying for a payday loan. While these loans most commonly come with excessively high interest rates and added fees, they usually can deliver the cash you need when you are in the I need money today situation. If you choose this option, make sure you have a good understanding of all the fine print associated with the payday loan. Make sure you can meet the repayment date and that you will be able to afford all the added fees and interest that will be charged on the money you plan to borrow. If you can’t afford the added fees, this may not be the best option for your I need money today woes.

These are just a few of the options you should consider when you find yourself thinking I need money today. Consider asking your friends and family for help, but if you are embarrassed about your financial situation, a payday loan is always a good option. Regardless of the option you choose, both are a good way to obtain the money you need, when you need it.

Things to remember about your personal loan

Evaluate all loan offers. The first condition for loan offer selection is the total money outflow that the loan will cost. The second factor is the EMI. A loan offer with a lower EMI and a longer tenure may seem attractive, as it could be easy on your purse strings, however not all such loans prove to be cost effective in the long run. Hence, first calculate the total loan cost and then try to opt for a higher EMI, which you can comfortably manage to enable a shorter loan tenure.


Personal loans constitute around 17% of the retail loan market share. However, in recent times banks have tightened unsecured lending due to the prevailing financial uncertainty and the increasing number of defaults in this segment. The focus of the banks currently is to keep defaults to a minimum. However, a personal loan for the credit worthy is indeed a boon in the hour of sudden need. This article explores the advantages of a personal loan for such an individual and provides a checklist one needs to keep track of when choosing a loan offer.


Why an unsecured loan


A secured loan would mean that you need to pledge a house or other forms of security as collateral to obtain the loan. However, a personal loan needs no such security pledge.


An unsecured loan is easier and less time consuming to access compared to a secured loan, which has a longer processing time. A personal loan can be accessed within a day’s notice and is easy to procure with minimal documentation. The borrowing range varies between Rs.50,000 and Rs.20L and the repayment tenure ranges from a year to 5 yrs.

The purpose for an unsecured loan is loosely defined and is not intended for one specific use, you could obtain it for wedding expenses, cruise holidays, as an education fund, to pay up sudden hospitalization expenses, purchase a car or a consumer durable and so on.


Six pointers to choose your personal loan


Calculating the cheapest loan offer: Personal loans come with very high interest rates ranging from 14% to 24%. Compare interest rates and get the complete picture by understanding the annualized interest rates for each offer. Then figure out the total amount of repayment you need to shell out with all the offers before opting for the loan of your choice.


Processing fee: You need to keep in mind the processing fee and other fees that will be levied when you apply for your personal loan.


Prepayment penalty check: Ask upfront if there would be any penalty payments for prepayment of the loan at any point in time. More often than not loan consumers tend to pay up their loans earlier than planned to be rid of debt. Hence, its important to know if your personal loan offer allows part prepayments. If that is the case, then you should be aware from what time frame in the loan period you can start prepaying and understand the cost you incur due to such prepayments in part or full.


EMI and tenure: Evaluate all loan offers. The first condition for loan offer selection is the total money outflow that the loan will cost. The second factor is the EMI. A loan offer with a lower EMI and a longer tenure may seem attractive, as it could be easy on your purse strings, however not all such loans prove to be cost effective in the long run. Hence, first calculate the total loan cost and then try to opt for a higher EMI, which you can comfortably manage to enable a shorter loan tenure.


Keeping track of your credit history: Especially in the case of unsecured loans, your credit history, which is recorded by CIBIL ( Credit Bureau India Limited) plays a critical role in your loan application being accepted. A good repayment track record ensures not only an instant loan approval but brownie points in the form of more attractive interest rates.

A personal loan is the best way out when you cannot access your personal savings to meet an unexpectedly huge expense. These pointers should help you on your way in landing the best deal on your personal loan.