So, you are in need of some cash. Your family members, friends, neighbors, even your golfing buddy are all tapped out. Trouble is, your car payment is due in 3 days and you can’t be late. That Pontiac Solstice sitting in your drive is a great ride, a chick magnet, and more precious to you then food. Okay, a bit of an exaggeration, but you get my point: you need money and you need it now! Personal loans abound and they are one solution to a crisis situation. Is a personal loan right for you? More importantly: exactly what are your options? Read on and I’ll show you the way!
Payday Loans: Payday loans have gotten a lot of press over the past few years as they are a great way to secure personal loans quickly and easily. However, fees and interest rates are high so if you aren’t planning to pay it off within a few days you’ll end up paying extra charges.
Cash Advances: Credit Cards are another way for you to secure a personal loan. By drawing on your card’s cash advance feature, you can borrow a few hundred to a few thousand dollars without seeing a loan officer. You’ll pay a fee for the privilege and the interest rate on a cash advance is quite high. However, if you can pay the loan off quickly it could be a viable personal loan alternative for you.
Equity Loans: If you own a home, your house may have some equity in it. Some lending institutions are so eager to lend money to you that they’ll approve a loan on the spot. Be careful: the rate could be high and you are putting your house on the line. That Pontiac Solstice convertible may not be worth that sort of aggravation!
Friends, Family Members: Ah, now for a test of your familial relationships. Ask Mom, Dad, Gramps, Aunt Bea, or Sis for the funds. That cold hard stare back from them probably means “no” but it could mean yes if you whimper. Groveling could help too. Seriously, a family loan could mean a low or zero interest rate for you. Better than the rate the loan shark guy at work wanted to charge you, right?
Retirement Funds: More than likely you won’t be able to tap your retirement funds within three days time, but borrowing from your 401(K) can be a wise decision. Just remember to pay the loan back with interest to avoid tax penalties. Besides, that Pontiac Solstice will look pretty ratty when it comes time to bid your work place good-bye.
Yes, you do have choices when it comes time to securing a personal loan. Some options are better than others so it behooves you to check the fine print when seeking personal loans. Personal loans can be a good option for you for the short term, but likely a long term solution could involve you getting rid of that pricey Pontiac Solstice!
By: Matthew Keegan
Posts Tagged ‘Zero Interest’
Personal Loans: Where To Find Them
June 17th, 2010Refinance Car Loans to Save You Money in a Recession
December 5th, 2009
It still looks like the recession has a bit of way to go. However, there is a way you can take advantage of the current economic conditions. Because interest rates are at their lowest point in years the cost of borrowing money is low.
Therefore it could be a good to get car loan refinancing either now or just as the Fed starts to raise the rates.
What Is Car Loan Refinancing?
Many people are not familiar with refinancing auto loans. Auto refinance loans are quite similar to the home refinance loans.
When you’re refinancing auto loans you’re borrowing money at a lower interest rate from a different lender. You will then use this money to repay your current loan and then you will repay the refinanced loan at a lower Annual Percentage Rate. And because the APR is lower, your monthly payments will be smaller.
The really good news is that not only will you pay less each month, if you refinance car loans you might also be able to save hundreds, if not thousands of dollars over the life of the new loan.
Bad Credit Auto Refinance
Some people wonder if they can refinance car loans if they have bad credit. This is probably one of the best reasons to get car loan refinancing.
Bad credit auto refinance is often offered at a substantially lower APR than the original loan. If your credit is challenged you may want to look into this option. The only time you might not want to consider auto refinancing loans is if your original APR is really low or if your loan is almost paid off.
However, even if you got 0% APR from an auto dealer, it’s often for a maximum of only three years. Since many people prefer to pay back their automobile loan over a longer period of time, even refinancing a zero interest loan might be something to look at – that is if you can get a low rate.
How Can Refinancing Car Loans Help You?
By refinancing over a lengthier period of time you will be able to lower your monthly payments. If you’re feeling a bit of a money crunch then why not investigate a number of auto loan companies on the Internet and see what they have to offer? Do it and you could end up with a lot more money in your pocket.
By: Shaun Alexis