Short Term Loans Online Can Solve Your Cash Flow Problems

Chris asked me the following question today:

“I’m in my early twenties and I’ve decided to get an educational plan that will mature in 30 years. I’m thinking that I’d probably have a college kid by then or I can use it as part of my semi-retirement plan. I do earn part-time for coding stuff, but it’s erratic although significant enough to cover my bills for one year, including the educational plan. I don’t want to default on my monthly payments though every time I haven’t got paid  for my job in time; that will defeat my intention to build my credit score with this plan. What are my options?”

– Chris, 24, New Jersey

First off, congratulations for having a financial map early on. If America’s middle class is to move forward, we should teach more of our young adults about ways to manage their finances. You’ve shown maturity in handling finances responsibly and, with that mindset, you’re likely to make it just fine despite a recent USA Today report that warned of an increasing rate of poor financial literacy among young adults.

You have three options to make sure you don’t miss a payment, and we’ll focus on the third one, getting short term loans online. Your first option is to renegotiate the payment schedule with your insurance to make it every quarter, semi-annual or annual. This should give you leeway to save up, but it’s risky, too, that you may end up spending these savings throughout the year. Then you’ll be faced with a bigger cash problem when the time comes to pay up the quarterly or annual fee.

Second, you can borrow money from family or friends during those delays in your cash. We don’t know your family and friends, so we won’t vouch for them. Still, be careful even among family members. A Chron article on borrowing advised that you should spell out a structured loan agreement to avoid conflicts down the road.

Your best bet is to try securing short term loans online. Your problem is not cash, but cash flow as your question implies. Short term loans online can build a bridge to cross over from one late payday to the next (although we recommend you to seriously talk about the pay delays with your employer even if you’re working part-time).

In fact, short term loans online are created for problems that you face: late cash. Short term loans online are fast to process and require little paperwork, if any, because the idea is to throw you the line quickly before you drown in debt or loan sharks get to you first. Lenders are willing to provide this loan especially if you are working and expecting to get paid, even with delays.

Read more:  I Need a Personal Loan Immediately! — 5 Tips To Find The Best One

Furthermore, short term loans online will protect your credit score by allowing you to make payments on time. In fact, many borrowers in the UK and Canada have successfully overcome their financial difficulties with the help of these loans. The only caveat is that you’re paying a little more because you’ll be paying the interest as well. But that’s a small sacrifice compared to incurring late payment penalties from your insurance  and, much worse, a black eye to your credit score.

Your good credit score notwithstanding—we assume you haven’t defaulted yet on your insurance—you’ll be glad that short term loans online don’t require a credit check. This saves you time and frees you from the fuss of paperwork and waiting lines.

And although almost anyone can get short term loans online, it’s not recommended except for the exact situation that you face: cash flow problem. These loans have a cost, and you want to justify that cost, like for example to avoid putting your credit score at risk. An article published by FinancesOnline.com talks about some of the inappropriate uses of short term loans online.

CONCLUSION

Short term loans online are fast to process and easy to secure even with a less-than stellar credit score. But more importantly, when used for the right reasons, short term loans online can save you from added stress. It’s that extra piece of string you need to make both ends meet in times when you fall short on cash. Use it wisely to protect your credit score and only then.

Category: Personal Finance

Page last modified