Loans for Emergency Expenses
Confirm how much you will receive, the deadline, and weigh this loan against the other bills you will face once the emergency is over.
What Are Loans for Emergency Expenses?
This type of loan is taken out to cover an unplanned expense that is urgent, where time is of the essence, such as an emergency automobile repair or the purchase of a needed appliance that has broken down. This type of loan will not guarantee an interest rate, an accepted loan amount, or the speed with which the loan will be deposited.
This page is about personal loans for such costs. The first thing to consider is how much this will cost, by when this payment will be required, and whether this new payment will work once the emergency has resolved.
Confirm What Needs Paying Today
Find out how much this will cost and what the deadline is. The estimate for the repair should not include any optional repairs that can wait. It may be possible to extend the due date for a bill, or pay it partially. Find out what the consequences are for not making a payment, and if a payment can be arranged to cover this.
Subtract money that has already been made available, any contribution from insurance, a warranty, or help that has been offered. An unapproved claim should not be considered as cash that is available.
Check Alternatives While You Review Financing
The organization you owe should be contacted. A repair shop, utility, or healthcare provider may be able to offer more time or a payment plan. Find out what the terms of the arrangement are and what the costs are.
Assistance for the expense should be checked to see what is available. Call the bank or credit union you use the most and check if there is a small loan offer. Review that offer along with all of the costs and payment options.
There may be other ways to get help that do not require commercial borrowing. Consider asking your family or friends for help. Whatever you decide, it is important that everyone is in agreement about whether it is a gift or a loan, and what the payment terms are.
If you need help paying your energy bill quickly, go to USAGov. They have resources to help you pay your energy bill. Be sure to call your energy provider too, especially if you are in danger of having your energy shut off.
Compare an Offer Against the Actual Deadline
| Question | Why It Matters |
|---|---|
| When can I use the money? | There are three separate things that happen: approval, disbursement, and money being available. |
| How much money will I get? | You may end up with less than the amount you asked for because of other costs or fees. |
| What will the total cost be? | Review the APR, the finance charge, any fees, and the total amount you will repay. Do not add the APR to dollar charges or count the same fee twice. |
| When is the first payment due? | This must work with paying all of your bills and how much money you have coming in. |
| What are the consequences of not making a payment? | Make sure you know what late payment fees will be and how they will handle it. |
Do not take a loan that will be more of a burden even if it will come more quickly. Similarly, a loan that comes after you have to pay an obligation will not solve your problem. It is important to keep in contact with the organization you owe payment to while your loan request is being reviewed.
Plan Beyond the First Payment
Record estimated take-home earnings and everyday spending for the next several paychecks. Record the payment schedule for the new loan, other obligations, and the costs related to the emergency, such as the cost to repair your car. You may need to buy gas and pay insurance. Lost time from work may impact your next paycheck.
If income fluctuates, use the lowest estimate. If you have to take out a loan to pay back the loan, or if you will have to miss paying a necessary expense, the loan should not be part of the plan.
How SlickCashLoan Handles a Request
SlickCashLoan brings borrowers and potential lenders together. You must provide accurate information about your ID and income in the form. Lenders will decide whether they want to make an offer. There is no guarantee they will match, approve, or fund the offer.
Before you submit information, read the fine print on the consent and privacy forms. A potential lender is likely to perform a review of your credit, which may cause an inquiry on your credit report. Check the authorization to find out whether the review involves a soft or hard inquiry and when it may occur.
If an offer is made, make sure you save all of the loan agreement disclosures before you make your decision. You can read the CFPB's explanation of personal installment loan fees to see some of the costs that may be associated with a loan.
Frequently Asked Questions
Can I get emergency loan funds today?
Same-day funding is not guaranteed. A lender's review and verification, your bank's cutting hours, weekends, holidays, and other factors may impact when you can access your funds. You must confirm with the lender.
Does an emergency change the approval requirements?
Lack of time will not decrease the eligibility criteria for a loan. The lender will still analyze the risk incurred by giving the loan and evaluate how much to lend and the terms of the loan.
Are payday loans and personal loans the same?
They have different payment and loan structures. Payday loans usually require the borrowed amount and charges to be repaid together, often by your next payday. Many personal loans spread repayment across scheduled installments. Just because a loan product is labeled as a payday loan does not mean that payday loans are less costly than personal loans.