Nearly half of Americans have less than $500 in savings. That’s not much security if things go wrong. A major car repair, new set of tires, or a trip to the emergency room could mean going into debt. Before taking out a high interest loan or whipping out a credit card to cover emergencies, consider that there might be other ways to come up with money quickly.
Odds are, there is something in your house that you don’t need or use anymore. Antiques, kid’s clothing, sporting gear, or musical instruments are popular sale items, but just about any product can be listed and viewed by a wide audience on Craig’s List. Having a yard sale can be good for a few hundred dollars. Also, any old gold or silver jewelry can be sold for scrap metal. If you still have your gold chains from the 80’s that could mean a pretty good payday!
Ask For Overtime
Depending on your employer, there could be potential overtime pay if there are legitimate tasks that need to be done to make the workplace more profitable or efficient. It might also make sense to ask for overtime if you know a co-worker is taking time off. It’s generally to pay more in overtime salaries than to be short staffed. You never know until you ask.
Pick Up A Side Job
Many side jobs take time to build a steady income stream, but there are several options that might produce money right away. Things like pet sitting, house cleaning, catering, babysitting, or lawn care are services that are often in demand. Pick something you are good at or have experience with and start asking around. Remember that extra income is still subject to taxes, so a portion should be saved so there are no surprises come April 15th.
Ask Family To Borrow Money
Asking family to borrow money might be opening a Pandora’s Box, but it could be a way out of a crisis. If you are responsible and not a repeat offender with money mistakes, family members might be more than happy to help you out in a bind. Just make sure to treat family loans like any other money borrowed and make regular payments until the debt is paid off. Also, don’t ask to borrow money from family who are struggling with their own financial issues. They might loan money they can’t afford to spare or feel guilty if they have to say no.
When It Might Be Smart To Take Out a Loan
If the bill you are struggling to pay has stiff penalties for delinquent payments, it might be a better idea to take out a loan, like those from realisticloans.com advisors. While taking on more debt is not ideal, incurring large fees or lowered credit scores due to late payments could do more long term damage than having to pay back a loan.
Ideally, everyone should keep at least three to six months of money in savings for emergencies, but for those struggling with debt or just starting out with savings, it’s always a good idea to keep ways to make money quickly in mind.