7 Best Places to Get a Loan When You're in an Emergency

When you're in a financial fix, a loan can save the situation. But where can you borrow the money? Here are the best places to get a loan.

One year in the United States, about 83.5 million people took out a personal loan.

Taking out a loan isn't always an ideal situation, but sometimes it is necessary.  

When you're in a financial fix, a loan can save the situation. But where can you borrow the money? Here are the best places to get a loan.

1. Online Lenders

One of the best places to get a loan is from online lenders. 

There are so many online lenders that you can find with a quick Google search. Once you find one, you can fill out an online application to see if you are available for a loan. Most lenders will let you know quite soon whether or not you are eligible, which can be great if you need funds quickly.

These also may be a great option if you have a low credit score. There are even some online lenders that give out loans specifically to people who have bad credit. 

However, when you get an offer from a different lender, make sure that you check the interest rates. Don't take a loan from the first lender that offers you one. Make sure that you shop around and do a little bit of research to make sure that you find the best interest rate.

While these lenders are convenient, they may also charge a fee for borrowing money from them. Before you take a loan from someone, make sure that you know what you're agreeing to. 

2. Marketplace Lenders

A marketplace lender is different from direct lenders because you will invest your money into loans through different marketplaces. 

One pro to this type of loan is that there is less risk because the money is more spread out. It also means that the rates for this type of loan may be cheaper than a loan from a bank. 

The terms and conditions may be shorter for this type of loan, but you should still make sure that you read and understand them. You also may not need that great of a credit score to get one of these. 

One con to this kind of loan is that it may take a while to get your money. Take this into consideration when applying for this loan because it could take up to a week to get the money. 

3. Credit Unions

Credit unions also offer personal loans if you are a member. 

There are a lot of different credit unions, and they all have different membership criteria in order for you to join. To join one, you just have to open an account.

Because you are a member of the union, there are normally lower interest rates for loans as well. In fact, the maximum interest they can charge for a personal loan is 18%. If you need a small, short loan, it can be anywhere up to 28%.

When you apply for one of these loans, the credit unions normally take into consideration your financial history, your employment status, and your standing with their membership. 

4. Cash Advances

If you have an immediate emergency, you can take a card to an ATM and have a cash advance in a matter of a few seconds. 

When you have run out of all other options, this is one thing that could get you out of a bind. However, you should only use this if you really need the money.

A lot of cash advances have an interest rate that is higher than the rate at which you purchased it. There are normally a lot of other fees on top of it as well. 

5. Payday Lenders

If you don't have a lot of credit history or great credit history, then you could check out payday lenders. These lenders will give money to you if you can't find it from anywhere else. 

If you need only a small amount of money, a payday lender may not be a bad idea. If you need a lot, you may want to find other options because the interest rates can be incredibly high. 

There are a lot of fees attached to this is well. On average, these loans are for about two weeks. However, they have a 400% interest rate, so choose wisely. 

6. Friends or Family Members

If you are in good standing with friends or family members, you may be able to ask them for a loan.

It can be embarrassing to ask the people you know for a loan, but sometimes they will be the only ones who will loan you the money. If they're nice enough, you may even be able to get a loan from them without having to pay any interest.

Make sure that you have documentation and written agreements with the people you are borrowing from, just in case anything happens. This protects you and your loved one. 

If you don't pay back your loan, you may end up ruining your relationship with that person, so think twice about if you actually need to borrow from them. 

7. National Banks

Lastly, national banks can also be a great way to get some loans.

Some of the most well-known banks, like U.S. Bank, Capital One, Wells Fargo, and USAA offer all kinds of personal loans through their company. If you already use one of these banks, you may have a better chance of getting a loan approved by them.

You don't have to go to one of the big, well-known banks to get a loan. We already talked about online lenders, but you can find online banks as well, like Ally.

Most banks will offer all kinds of different options for loans, so again, make sure you shop around to make sure you get the best interest rate possible. 

Check out the Best Places to Get a Loan Today

These are some of the best places to get a loan when you need money as soon as possible.

As always, make sure that you know what interest rates you are signing up for and make sure you pay back the loan. This will help you when you apply for more loans in the future. 

Keep browsing our website to learn more about getting a loan!