You never know when something unexpected might happen that will cost you a fortune. Also, it’s impossible to tell when you might lose your job and halt your primary source of income. For those reasons, homeowners need to understand their borrowing options ahead of time. Today, we’re going to list a few different ideas that could help you to get things back on track. When all’s said and done, people who own houses are the lucky ones. They have something of value that can be used to bargain. It’s those who live in rental accommodation who tend to suffer most.
Look for a secured personal loan
Most banks will be more than happy to lend you money backed by the value of your home. There are also many private finance companies that will take the same view. So, you just need to use an online comparison service to find the best deals. In most circumstances, you won’t have to pay high-interest rates. That is because the lender knows they can come to your home if you fail to make the repayment schedule. As with any loan, you need to check the small print before adding your signature. Don’t accept anything that means you have to pay more than 20% interest because you’re getting ripped off.
Tap into the equity in your home
Lending experts at Choice Retirement say releasing equity could be the best way to raise funds. It all depends on how long you’ve owned the property, and how much it is worth. In many instances, you have to be over the age of 55 to get a deal like that. Your home also needs a value of more than £70,000, but that covers most properties these days. The money you release could help you to pay your bills and get back on the straight and narrow. You could even use it for a luxury holiday or two. It’s possible to release the funds in a couple of days, so it’s perfect for emergencies.
Apply for high-balance credit cards
Just like loan companies, credit card firms will fall over themselves to give you money. That is because they know they can always get it back if the worst occurs. You’ll probably find they keep increasing your balance every time you get close to it too. It says at ThisIsMoney.co.uk that you can make that happen anyway if you follow the right process. Again, just make sure you don’t accept anything with extortionate interest rates for the best results. Some banks will provide you with credit card accounts on the spot, and that means you can get the cash fast. It might take a few days to receive your cards in the post, but you can access the money as soon as you have the numbers.
Now you know how to get cash in an emergency, nothing should stand in your way. As we said at the start of this post, homeowners are in an ideal position borrowing money based on their assets. If you’re currently living in rental accommodation, you’ll have to look elsewhere for the best suggestions. It’s impossible to release equity or get a secured loan backed by something you don’t own.