Where can you find emergency money if you are unemployed?

0

The US unemployment rate is falling steadily. Even so, more and more Americans are facing financial problems. Those with a good job and decent credit score can qualify for a personal loan from traditional financial institutions. But what do you do when you belong to the millions of unemployed? If that sounds relatable and you need cash now, there are instant options. You have the chance to qualify for certain loans even if you have poor creditworthiness.

Loan options for the unemployed

If nothing works, you still have a few workarounds:

  1. Secured personal loans. Collateral guarantees your lender that they will get their money back even if you no longer pay your monthly payments. With this type of loan, be aware that if you fail to pay off your debts, you will lose collateral.
  2. Home loan. If you own real estate, this type of loan allows you to borrow money based on the value of your home.
  3. Payday loan. These short-term advances will help you get low-requirement emergency cash. Most people qualify without encountering any problems. These loans are quick and can help you until you get your next paycheck.
  4. Installment Loans. Online lenders also offer loan products with a term of several months. Aside from the repayment term, the amount available can be up to $ 5,000.
  5. Cash withdrawals. Credit card holders can receive a small cash advance. You need to be aware that these loans come with high interest rates.
  6. Credit lines. Borrowers who qualify for a personal line of credit can access credit through their credit card. When you manage to get such a loan, your payment usually fluctuates from one month to another.
  7. Loans for pawn shops. Another alternative to conventional loans is a quick loan from a pawn shop. It involves using a valuable object as security. The risk here is that you will lose the asset that you are using as a guarantee. Your creditworthiness is not relevant in this context.

Where unemployed people can apply for a loan

You can apply for a loan from a bank, credit union, or direct lender. The first two options are more traditional, while payday deals are alternative loans. See a few typical examples below.

Bank of North Dakota

Loan Products: Home Loans, Student Loans, Corporate Loans, Infrastructure Loans, Grants;

Amounts: vary depending on the details of the borrower;

Annual Interest: from 1.59%;

Advantages: Repayment periods of up to 180 months, wide range of products and services, financial education resources.

1first cash advance

Loan Products: Payday loans for bad credit, vacation loans, installment loans, emergency loans.

Amounts: from $ 100 to $ 5,000;

Annual Interest: From 200%;

Advantages: Full online application form, financial information resources, no harsh credit checks, just fill out one application and get quotes from many trusted lenders, 24/7 support.

Members of the 1st Federal Credit Cooperative

Loan Products: Auto Loans, Personal Loans, Mortgage Loans, Student Loans, Home Loans;

Amounts: from $ 500 to $ 20,000 and more;

Annual Interest: from 3.48%;

Advantages: Loyalty programs, digital banking, financial advice, no early repayment penalties

ZuntaFi

Loan Products: Consumer loans, student loan refinancing, private student loans;

Amounts: from $ 5,000;

Annual Interest: from 2.45%;

Advantages: personalized services, comprehensive support, secure customer reports, mobile operation.

Sun Federal CU

Loan Products: Home Loans, Credit Card Loans, Auto Loans, Student Loans, Personal Loans, Debt Consolidation;

Amounts: $ 1,000 or less;

Annual Interest: from 3.24%;

Advantages: Online banking, government insured, secure connection, 24/7 support.

The three factors that affect your qualifications

When applying for a payday loan, there are three main elements that will directly affect your chances of getting approval:

  1. Your income. A direct lender will carefully consider your source of income and assess your debt-to-income ratio. They’ll estimate if you can pay them back based on your monthly resources. If you don’t have a traditional job, alternative sources of income may work with some lenders. These include unemployment benefits, child support or alimony, investments, your spouse’s income.
  2. Your credit history. Bad credit will usually not stop direct lenders from accepting your application. In addition, many financial institutions advertise no credit check. Nevertheless, a good credit rating is an advantage. First of all, it indicates that you are a responsible borrower. Second, a fair score can help you get lower interest rates.
  3. Your legal residence. Emergency loan terms vary by state. For example, states like Mississippi, Nebraska, and Missouri limit the loan amount to $ 500. Other states limit the APR or change the typical 30-day period for a cash advance. As a result, the offer you get from lenders also depends on government regulations.

diploma

You can still get a loan even if you are unemployed. You have several options for obtaining an emergency loan. Some lenders, like payday loan providers and pawnbrokers, won’t pay much attention to your creditworthiness. Before going into debt, however, do a quick research and compare your options. Take into account your income and where you live to assess your chances. And above all, pay off your loans on time.

Share.

Comments are closed.