Emergency Help: Where to Get Money in a Crisis?

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Life can take an unexpected turn sometimes. As an adult, you should be financially ready for big expenses: whether it’s a medical emergency, mortgage bills, etc. But how can you stay prepared, if there’s no guarantee of what happens tomorrow?

For desperate people, looking to get cash in advance, there are many lenders providing loans with no previous check. However, you should be aware that not all the services you can trust. Online loans usually have looser requirements, but they also charge higher interest fees for such convenience. Or, as a worse alternative, they are illegal and may use your valuable data without your consent.

In this article, we’ll explore how you can get emergency cash without harming your privacy. You’ll get into the process of how the lenders work and if they can make your life easier. Read till the end – because that’s where we prepared some better alternatives for a loan!

Electronic Funds Transfer – What’s the Difference?

As an alternative to loans, you can use your social benefits as a way to get money quickly. It’s better than a 1-hour direct deposit loans no credit check because you won’t be obliged to cover the interest.

Electronic Funds Transfer (EFT) or a direct deposit is safe, secure, efficient, and less expensive than paper check payments and collections. It’s the method often used by government agencies and financial institutions to cover bills.

In addition, direct deposit applies to the following social benefits:

  • Social Security
  • Supplemental Security Income (SSI)
  • Veterans’ payments
  • And more

Check with your local agency, if you qualify for any additional payments and start earning them! If you don’t have a bank account online, check the official website of the Federal Deposit Insurance Corporation (FDIC) for free assistance.

Benefits of Loans With No Credit Check

There are obvious pros of credits with no check of credit card history:

  • You’ll get funding even with a poor history of loans;
  • You’ll have an opportunity to rebuild a profile if you repay the money on time;
  • You’ll borrow easier in the future from trustful lenders.

If you need money urgently, a loan with no check can be a temptation. It’s also a choice when you don’t have the best credit and are afraid that most of the financial services will be unavailable for your request.

Types of Loans With No Credit Check

Some of the common examples of loans that don’t require a credit check are:

  • Payday loans – short-term loans, available until you get your next paycheck. In most cases, lenders issue such loans for a short term (about 2-4 weeks). They are created to secure you with quick cash for emergency needs; so that when you get a paycheck, you’ll be able to repay;
    No credit check installment loans – in this case, you borrow a lump sum of money and repay it through a series of installments. You may see, that the amount for installment loans is bigger, and cannot be covered by one paycheck;
  • Co-signer loans – can be an option, if you’re not eligible to request a loan by yourself. If you’re in a tough situation and need money urgently, ask a family member or a friend to be your co-signer. It means this person will apply for a loan with you and can win you a favorable interest. The pitfall here is that you cannot miss the payments; unless you want to spoil your co-signer’s credit history;
  • Auto title loans – a type of secured loan using your car as collateral. As an alternative for borrowing extra cash, you give the lender access to your car title. Therefore, if you fail to repay the loan on time, the other side of the deal might take advantage and repossess your vehicle;
  • Secured credit cards – with a bad credit history, you may not get approval for a traditional unsecured credit card. That’s why secured credit card issuers might offer an appropriate solution – because, in some cases, they don’t perform a background check. When you take out a secured credit card, you make a cash deposit that’s typically equal to your credit limit.

Among the different types of loans with no credit check, you may see that no one guarantees you 100% safety. That’s why we’ll move over to discussing why no-credit-check loans are a bad idea.

Why You Shouldn’t Sign Up for No-Credit-Check Loans

A loan with no credit check should be the first thing to avoid. No matter how desperate you are to collect money; no matter what your situation is (don’t worry, there are some obvious exclusions) or what is your current paycheck (can’t you just find another job?) Behind their good promises, there can be bad consequences for your financial stability.

In critical situations, people tend to make the most unexplainable decisions. For example, if you request a loan, but don’t have a stable paycheck; you’re a freelancer, and depend on market feed. How do you plan to repay in this case? Plus, you should add the interest rate to your financial expectations. You won’t receive it, but you’ve got to pay for it.

The no-credit-check loan is an example of predatory lending since the enormously high interest can trap you in a cycle of never being able to repay. The worst lenders also tack on additional fees, while the others are mostly scam accounts, taking advantage of your online presence.

Summing Up

All things considered, you should brace yourself when dealing with emergency costs. Don’t fall for the first online service promising you money with no credit check. Look at their interest rates, check if they are not scammers (by browsing customer reviews), and make your decision.

As a less suppressive alternative, try requesting social benefits with your local agency. The money will be transferred to your account electronically shortly, and there won’t be negative consequences. Plus, your vulnerable data will remain secured, and invisible to the public eye.

About the author

Saman Iqbal

Saman is a law student. She enjoys writing about tech, politics and the world in general. She's an avid reader and writes fictional prose in her free time.

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