What Are Some other Ways apart from loans to attend to needs?
When you face unemployment, the onslaught of pending debts, utility payments, and emergency expenses takes over. Thus, financial advisors always advise you to have atleast 4-6 months’ worth of living expenses to cover up for critical cash shortages.
If you are stuck in this type of situation, there are some ways you can counter the problem.
Why Do Unemployed Individuals Lose Up Savings Too Early?
There are ample reasons the money shortage occurs soon after unemployment. Here are some:
- You may have immense bills pending to clear
- Attending debts repayments
- Investing savings for substantial living expenses
- Using savings to counter emergencies
- Not setting up emergency funds
- Not supporting since early years in funds like retirement or 401(k)
You could relate to some of these aspects in the unemployment phase. It is natural to tap savings, but one must ensure a firm backup in the employment phase.
However, one can still get instant cash to meet emergencies without waiting further.
5 Ways to Get Cash as An Unemployed to Finance Basic Needs
It is clear from the above aspects that only some have a sturdy financial backup to meet immediate needs. It leads to stress and confusion as to what step to take next. There are comprehensive solutions that you can tap into for your needs if you are in a fix.
Check some ways to tackle money urgencies without panicking:
1) Tap loans on unemployed benefits
Yes, it is the same as it sounds. Individuals facing unemployment for genuine reasons may qualify for these benefits provided by the government.
With weekly pay, one can manage day-to-day living expenses without panicking about the unexpected. However, these may not suffice the needs exceeding £100.
Or if you have accumulated enough of these funds (£66/week), you may use it to bridge the expenses.
But what if you encounter a medical emergency?
How would you attend to it with dissolved savings?
In situations like these, options like on benefit cash money loans from direct lenders like Huge Loan Lenders., can help.
These help you cover up for emergencies with immediate cash assistance at minimal income requirements. The people can choose the payments as per the affordability. We help you scatter the repayment structure to avoid defaulting on the loan. Use it for any purpose- like paying bills, attending child health emergencies, etc. You do not need to pledge collateral and fear hard credit checks. These are no collateral and soft-credit check loans.
2) Selling your unused items
Getting through the phase of unemployment is critical. It is important to plan things. One should stress developing money-saving habits. It would help you avoid exceptional cash loss and severity.
If you are strapped for cash, improvising can help you get through things well. Check whether you have some stuff that you can sell to get some instant cash. Some websites can help you get early money within minutes. You can sell:
- Books that you hardly read
- Crocheted covers and things
- Used car materials
- Selling off the machine that you do not use
There are more things that one can imagine to sell and meet the requirements without waiting.
You can also put up your garage on rent or sale if the needs are high. Renting would not only help you bridge an expense but would help you keep extra flexibility of cash.
3) Tap your investment for urgent help
Investments are the most potent source of bridging cash needs, especially in emergencies. It may be a dominant sort of income.
Yes, it may be ideal for long-term investments, but it would help you deal with urgent causes by liquidating some. While mortgaging your fixed deposits is one way to deal with such situations, you must avoid it at any cost.
It is important to realise that FDs are critical from the long-term investment point of view. You can make money from investments with timely and regular investments. Analyse the risks before investing. It would help you keep up with the times like unemployment.
4) Analyse the PF that you got from your previous employer
Check whether you can get the dues back in time with your last employer. Know your rights. Always tap the unclosed structures of the employment life.
It would help you get rightful access to the funds. You can use a portion of these to meet critical needs. If you forgot to get your PF funds or the employer has advised you to release them in time.
Are you seeking some instant help and have yet to tap the PF?
Do not wait any longer. No employer can deny access to the appropriate amount.
5) Return your recent purchase
One often needs to remember to tap the things that they recently purchased. While it may seem impossible to return the item, you must try.
For example, if you recently bought an oven and have not used it, consider returning it within the period. Some companies offer you a return period of 10-18 days. Check for the same with your provider.
It would help you keep up with the payment and help you counter any such emergency easily.
However, some expenses exceed £2500. It could be urgent home repairs, debt consolidation, refinancing, equipment purchases, international study trips, etc.
How would you cater to such expenses?
What if you require a flexible amount to attend to your needs?
Some circumstances call for a little more cash requirement. Getting hands-over- any amount exceeding £5000 for your needs. While getting the cash on unemployment is a little challenging owing to employment struggle and insufficient credit proof.
You may get one if you provide a guarantor on the same. A guarantor backed by a stable credit score and finances can help you qualify for the loan.
For an amount of around £5000 or below, you may not need one. You can easily get up if you have any secondary income besides.
Qualifying for a £10000 money loan on bad credit requires one to ensure affordability. If we get that the individual can make repayments timely, we sanction the loan immediately.
Whatever option you are considering to counter your emergencies, make an informed decision based on each option’s pros and cons. Don’t panic but stay focused on your finances and affordability.
Ailsa Adam is the Editor-in-Chief and former content head at Hugeloanlender. She has been a valuable member of the content strategy team since 2017 due to her abundant experience in the finance sector. Passionate about helping individuals navigate the world of loans and personal finance, she has dedicated herself to acquiring extensive knowledge on various financial products. Before her role at Hugeloanlender,
Ailsa worked as a seasoned journalist and writer, specialising in creating informative blogs and articles on diverse loan types. She is known for her meticulous research and commitment to delivering accurate and engaging content. She holds a degree in MBA Finance and has a keen interest in creative writing and art.