With 78% of workers living paycheck to paycheck, the world can be a scary place when an emergency pops up.
There are many of us that can relate to having an emergency and needing a $500 loan with bad credit. You might feel trapped and worried that there is nothing you can do. The good news is that there are options for you when you need money fast, and your credit is less than stellar.
Continue reading this article to learn how to get bad credit emergency loans.
Online Lenders
Online lenders don’t have a lot of overhead costs, which means it is easier for them to lend money, and many times, their interest rates are better than those you’d find at offline leaders.
You can even go to online marketplaces and let people bid on your loan and fight over being the one to lend you the money.
Credit Card Cash Advance
If you have a credit card, you may be able to get a cash advance. Keep in mind that cash advances often require you to pay a higher interest rate than normal credit card purchases.
Look at your terms and conditions before you use your credit card cash advance features to see what you’re committing to when you use it.
Title Loans
If you find that your credit is so bad that you don’t have access to credit lines, a title loan may be a good option. With a title loan, you have to take your title in and let them hold it until you pay back the loan.
You can’t do title loans if you still owe money on your title, and the bank has your title.
Your entire credit card balance might not be available for a cash advance. You may only have a small percentage of your available credit that you can use for a cash advance, so that is another term you need to review.
Payday Loans
As long as you have a job, you may be able to get a short term loan to get out of a jam. Payday loans work by giving you money until your next payday. Payday loans can be some of the most expensive interest rates because it is such a high-risk loan option for the lender.
There is no collateral, and if you don’t come back and pay them, there isn’t much they can do to get their money back.
Getting an Emergency Loan With Bad Credit
Now you know how you can get an emergency loan with bad credit, and you can rest easy. Since paying back the loan can also help you build your credit, you may be able to borrow more the next time.
Do you want to learn more about finances? Our site is full of finance-related articles that can help you as you’re building your credit and beyond.
Browse our site, find your favorite section, drop a bookmark, and come back soon to read more.
For those with bad credit, the interest rate will be much higher than those with good or great credit. The online applications are easy to complete but there is no guarantee the loan will be approved as there are many factors to be considered besides the credit score. An online installment loan is the easiest to apply for. In most cases, the borrower can get money by the next business day.