If you've ever applied for a mortgage, you know that bank loans can be a lengthy, time consuming process. However, that's to be expected when you're applying for such a large amount of money. But what are your options when you need a smaller cash infusion, from a few hundred to a few thousand, and you need it quickly? Cash in these amounts can give you enough cash to pay for an unexpected medical or dental expense, treat an ill or injured pet, or take care of an unexpected home repair. But many banks don't even handle loans in such small amounts, let alone handle them quickly. Take a look at some options for getting a small loan quickly.
Zero-Interest Credit Cards
If you have good credit and can wait at least a few days, it might be worth applying for a zero-interest credit card. While zero-interest offers are usually introductory offers that don't last more than a few months, that can give you enough time to get the money that you need and pay it back before the card starts charging interest. Many credit card companies offer instant approval, and you can get the card by the mail fairly quickly. Some even offer the option to overnight the card for an additional fee.
Done correctly, this is one of the least expensive ways to get a small short-term loan, since you can avoid paying any interest at all if you pay the bill off before the zero-interest offer expires. The biggest danger is that you won't be done paying the amount you needed off before the card starts charging interest, but there are other pitfalls as well. Making payments late may void the introductory offer and trigger expensive interest payments early. Plus, it can be tough to avoid the temptation to use the card for more than the single purpose you wanted it for and run up an expensive bill. And of course, if your credit isn't good, then it's unlikely you'll qualify for a zero-interest offer.
Some borrowers wish to avoid the banking system entirely, and for those borrowers, peer-to-peer lending may be the answer. There are several types of peer-to-peer lending networks. Some are backed by investors who are looking for a return on their money. Others are essentially small groups of friends that pool their money together and profit as a group from the interest repaid when one of them borrows.
Each peer-to-peer option has its own rules and regulations. The investor-backed options require you to fill out an application and maintain a minimum credit score. The smaller groups of like-minded friends pooling money allow anyone who has contributed to the pool to borrow money, but each group can choose who is allowed to join and contribute. Groups may form around common professions, location, or other standards. While both of these options offer quicker access to funds than many banks, they also have their drawbacks. A poor credit score may disqualify you from the investor-backed option. And if you're not already a member of one of the money-pooling groups, finding one to join and making the initial investment may not be something you can do in a hurry.
If you own something valuable that you're willing to put up as collateral, then you may be able to overcome a poor credit score and get the funds you need instantly, or at least within a few hours. Collateral loans are simple. You exchange an item of value for the cash that you need. When you pay the money back, along with any interest or applicable fees, you get your item back.
Collateral loans are easy to find. You can find collateral loan providers in your local area or online at places like http://solsjewelryandloan.net/. Your credit score probably won't matter to the loan provider, because you're securing the loan with your valuable item or items. There are a wide range of things that can qualify for collateral, ranging from jewelry and designer handbags, to consumer electronics, to firearms, to cars – and many things in-between. Make sure that you shop around for the most reasonable interest rate you can find before committing to a collateral loan, and be sure to pay attention to the loan repayment terms. These loans are often (but not always) short-term loans that may need to be repaid in a month or a few months – however, you often have the option to extend the loan for a small fee if you can't pay it off on time.
Coming up with cash on short notice is a challenge, but it's not impossible. These three options are some of the simplest and fastest ways to get the cash that you need fast.