Financial emergencies can arise unexpectedly, leaving you in urgent need of money. It can be an emergency medical expense, car repair, job loss, or emergency funds, which can make you need cash and be highly stressful.
However, like most American households who said they’re concerned about their amount of emergency savings, there is no opportunity to have emergency savings in these inflation times. In this article, you can check out six ways you can get money in one to 14 days for an emergency to help you solve your problem.
Borrow From Your Retirement Account
You can borrow money if you own a retirement savings account such as 401(k) or an IRA. You’re allowed to borrow from your IRA only once annually. However, you must pay it back within 60 days.
Some employers also offer 401(k) loans, and you can borrow half of your account balance from them and repay it within five years. However, the loan may be considered as a taxable income if you don’t make timely payments. You may also be required to pay off your loan immediately if you’re fired or lose your job.
Sell Your Assets
Even though it might be the last option, you can look into selling your assets if you need money in an emergency. If you have anything lying around your house you don’t need; you can turn it into cash. It can be electronics, furniture, jewelry, collectible items, or anything worth something you can sell on online marketplaces like Facebook marketplace or Craigslist.
If you need a large sum, you can also sell your house fast to companies that can buy it from you in seven to 14 days with one or more showings and no transaction costs. If you’re interested and in the Philadelphia area, head to https://www.problempropertypals.com/pa/philadelphia/
Explore Personal Networks and Community
Personal relationships and community can help you in times of need. Reach out to your friends and family to help you with temporary financial assistance. Explain your situation to them and relay a complete plan for repayment terms to win their confidence and ensure uncertainty doesn’t ruin your relationship with them.
Your community can also help you with community assistance programs. These programs support and provide you with emergency funds and grants for individuals in need. Try contacting local charities, nonprofits, or religious institutions to find resources.
Borrow Against Your Life Insurance
If your life insurance policy has monetary value, you can borrow against it and repay it throughout your life. However, if you don’t compensate for it, your insurance company will deduct the cash from your policy’s payout after your death. Note that you can’t borrow against a term life insurance policy.
Take Out a Loan
You can apply to your bank to help you in times of need. If you have good credit, lenders can even give you a personal loan in a day. The interest rates will be high if you have a low credit score. You can also take a credit card advance if your account has a solid foundation. A cash advance is also a better option than a payday loan because the latter has a high interest. To get a cash advance, you must pay a fee of around 5% of the amount plus interest.
Take Help From Your Workplace
There are a few options you can try for cash from your workplace. Try asking for your paycheck earlier or checking if your bank offers direct deposit in accounts. Consider asking for a raise from your workplace. It won’t solve your problems overnight but it can solve some money issues.
You can ask your employer for a cash advance on your salary, which doesn’t cost any fees, and you need to repay it through payroll deduction. Some companies also offer low-cost loans to employees in crisis.
Endnote
A financial emergency can arise unexpectedly, leaving you with a short time to arrange the money. You can borrow fast cash from your retirement account and life insurance policy. Sell your assets online through websites like Craigslist. Consider selling your house and moving to a smaller place if you need a large sum.
Ask around from your friends and family to help you, and check out the community assistance programs that have emergency funds to help people out. You can take out a loan or credit card advance from your bank, which you’ll have to repay with interest.
Check if you can take help from your workplace through a paycheck provided earlier, a salary raise, or a cash advance. Research well before selling your items or taking a loan, and remember that the hard times will pass by soon.