Best 7 Recommended Ways For Bumping Up Your Short-Term Cashflow With Bad Credit
1. Talk to your lenders about an extension
Many lenders might be willing to delay payment for a short period if you are in a cash crunch. Call up customer service and explain your situation. You can make regular partial payments instead.
Lenders want to see that you have a plan for getting on top of your finances. You’ve fallen behind because of some event over your control. For example short-term unemployment or a medical emergency. This emergency should have passed.
2. Ask your boss for an advance.
Tell your boss and explain to him that your cash flow is a little tight. You don’t need to broke down all the details with him. You should tell him generally. And ask him, can you get full or partial advance on your next paycheck? This method will save you a lot of money by not needing to go to ask for loans, and paying interest.
3. Ask friends or family for loans.
People who know you might be willing to help you out. Tell them why you need the money and show them. You will pay them back as soon as possible.
You can also agree to pay interest. Because it shows you are going to pay for their money back. Check your legal’s usury laws online, which will set the greatest interest rate allowed. Normally, your friends or family always charge you a small interest rate.
4. Use your bank’s overdraft protection
Overdraft protection is the method that you are permitted to withdraw more money than you have in your bank account. These are allowed by many banks. Generally, you will pay some little fee or interest for withdrawing.
5. Get a personal loan
Someone with a decent credit score should go to a bank or credit union and ask for a personal loan. You can request a personal loan from an online lender. The best part is most online lenders should not charge upfront fees or pressure you to wire them money.
Personal loans can usually be paid in monthly installments over several years. This makes repaying the loan much more manageable.
6. Apply for a payday loan
A payday loan is also called a cash advance loan, check advance loan, or deferred deposit check loan. They have another name called “costly cash” because of their very high-interest rates. You normally need to pay back by your next payday. Although they are not always a good solution for solving your financial problem. But with the payday loans, you can borrow for quick cash while rebuilding your credit. But you should always remember in many other cases, payday loans can trap you into a cycle of debt that hard to get out of.
7. Apply for a credit union.
For most credit unions, you must have been their member for at least 1 month before you apply for a loan. They can offer you small loans between $200-$1,000 with lower interest rates. Which you should payback in 1 to 6 months later. The credit unions will only charge you for a small application fee.