We’re coming to the end of a very difficult winter here in the Jersey City/Hoboken area. With all the snow, and the frigid temperatures, many projects simply had to be put on hold. It’s March now, though, so things will be thawing, thank goodness! Now we can go back to what we would have been doing if we hadn’t been focusing on simply getting to where we needed to be through all of that white stuff!
After a winter like this, some people are strapped for money because of various factors. Maybe the weather prevents work for certain professions. Maybe an automobile had to be replaced because it was unreliable in the sub-zero temperatures. There are a lot of people who need extra cash around this time of year.
Home equity loans, refinancing, and the like are the customary means of obtaining funds for our spring projects, or for catching up on bills, etc. There are a couple of routes that people take nowadays that you may want to avoid, because they cost a lot more in the long run.
Some people borrow money from their 401(k). When you do that, you have to be aware that if you leave your present place of employment before it is paid off, the balance may have to be paid within 60 days. So before raising money this way, you may want to check the terms, and look into your job security.
Another method of getting some quick cash is a payday loan. You see these little storefront places all over advertising ready money. Most of them only require identification and proof of employment. However, if you get into this deal, you may begin a cycle of borrow/pay that could spiral out of control. The only time it might work is if you absolutely know you will be receiving enough money in the near future to pay it and stay out of the hole.
Deferred payments can be negotiated with some loans as a way of keeping some of your cash in an emergency. This should not be done for frivolous reasons, though. In some cases, the interest may continue to accrue and be tacked on to the principal, so you will be paying more in the long run. Some auto lenders may allow you to defer a payment here and there and add them on at the end of the loan payment period. You can see how this could, if used often, extend the payment period to incredible lengths!
I hope you can get the cash you need without any problem this spring!
Edward