If you need to find emergency money to pay your bills, begin searching for extra money as soon as you realize there may be a shortfall. From earning money at a second job to selling items or using a stash you've put aside, or even borrowing money as a last resort, options abound. Once the crisis passes, be sure to reevaluate your budget and income to make sure you won't face a crisis next pay period. You'll have to work hard to find emergency money to pay your bills, but the satisfaction of staying on top of your finances is worth the effort.
Brainstorm ways to earn extra money immediately. Think about your past jobs, the people you know and your local economy. Could you call a former manager to waitress several shifts over the weekend, or deliver pizzas for the next few evenings? You need an option that will pay right away so that you can cover your bills.
Tap into your emergency fund if you have one, with the understanding that you'll pay it back as soon as possible. if you don't have any extra money whatsoever, resolve to build up an emergency fund as soon as you catch up with your bills.
Sell whatever you can. Look around your house and yard for items of value that you don't absolutely need. Advertise sports equipment, the boat, clothes, toys and collectibles in an online classified ad right away. Set the price and provide contact information so buyers can follow up on your ad. You can list something in the morning and have cold hard cash in your hand by the afternoon.
Borrow money only as a last resort, realizing that you are having trouble meeting your obligations now and a loan will only add to your problems in the long run. If you do borrow money, have a plan for repayment and try to avoid paying any interest if possible.
Find out if a bank will allow you to consolidate your debts into a personal loan with a lower interest rate than you're paying on the debts. Then, close your credit card and debt accounts to avoid re-spending on those accounts.
- Save a small amount out of each paycheck in an emergency cash stash for future needs.
- Look into peer to peer lending or social lending as a possible solution.
- Never use a payday loan to pay your bills, as the interest rates are insanely high and you will begin a vicious circle that's hard to escape.