What to Do When You Need Cash Now

Knowledge Center

What to Do When You Need Cash Now

What to Do When You Need Cash Now

If nothing else, 2020 taught us that life can throw us a curveball at any time. When the unexpected happens, it can certainly put you in a tight spot, but it doesn’t always have to be a hard hit to your finances. While the ideal option when the unexpected strikes is having an emergency fund with enough saved up to cover the unplanned expenses, this isn’t always a realistic option for everyone. If you need extra money in a pinch and don’t have an emergency fund to pull from, these borrowing options can help minimize the impact to your finances.

Put it on a Credit Card

A credit limit in the thousands should be enough funds to cover minor repairs, purchase replacements for appliances, cover some common car troubles, or help you with other unexpected expenses. Much of the value of a credit card comes from its convenience, and since it’s a credit line you have to use as needed, you won’t need to apply for a new loan each time you incur an expense. Instead you are using the funds already made available to you. If your available credit is not enough to cover expenses, you may be able to request a credit limit increase, but doing so will run your credit, so consider your options to determine if that is the best decision for you. Additionally, most credit cards offer cash advances, either through ATMs, bank withdrawals, or checks that function similarly to short-term loans. You are typically charges a transaction fee on cash advances, and the interest rate will likely be higher than the interest rate on your regular credit card purchases. A credit card advance can be a quick way to cover expenses when charging it is not an option. Check your cardholder agreement to see the rates and limits for cash advances on your card. To review the cash advance rates and fees for your Robins Financial Credit Union Visa® credit card, view our credit card agreement.

Take out a Personal Loan

Personal loans, or unsecured loans, are another option to help you cover unexpected expenses. Instead of using a credit card, a personal loan makes paying for life’s surprises a little more manageable by allowing you to split big expenses into more affordable monthly payments. A personal loan can help you pay for home or auto repairs, other large expenses, or consolidate debt without need for collateral. As with any other loan, your credit score determines what interest rate you qualify for. The better your score, the better your rate. Use our personal loan calculator to see what your monthly payments and total cost of the loan will be over time, depending on the loan amount you need and the interest rate you qualify for.

Use Your Home’s Equity

You can also finance major expenses using the value of your home as collateral. This is done through a home equity loan or line of credit. A home equity loan is a great way to find extra cash for big expenses. A home equity line of credit functions similarly to a credit card in that you’re given a set credit limit from which you can borrow and repay as needed. Both options tend to be easy to qualify for, since they are secured through the value of your home. The interest rates on home equity loans and lines of credit are typically low.

Consider a Loan Refinance

Refinancing your auto loan can help make more wiggle room in your monthly finances when you need to free up some extra cash flow. Refinancing can help you save by reducing your interest rate and lowering your monthly payment amount. Use our financial calculators to help you estimate how much you can save by refinancing your loan.

If you find yourself needing emergency cash now, let us help. We are committed to helping our members navigate times of financial uncertainty. We offer competitive rates on our credit cards, cash advances, personal loans, and home equity options. We can also help you set goals and plan for expenses before an emergency arises with our variety of financial calculators. We stand by ready to work with you to help minimize financial hardship.

At Robins Financial Credit Union, our mission is to enhance the financial well-being of our members and community. We honor this commitment by providing educational content to help you make the most of your finances. Read our other blog articles to help you gain the financial knowledge you need to succeed.