Cash in a Flash – A Guide to Fast and Fair Loans
Financial emergencies can make you feel frantic. When you need quick cash and are in a difficult situation, you do not want to be left waiting on the lender’s approval. Time is of the essence when it comes to financial emergencies.
However, in situations like these, it is easy to become a victim of fraud. Terms that are too good to be true and easy approval can appear extremely enticing, making you a victim of financial fraud.
Getting approved for fast and fair loans is not just a stroke of luck. Thorough planning and proactive research can help you obtain cash in a flash when the need arises. A good credit score makes it easier to get credit, and knowing about legitimate lending platforms like Salad Money can help you avoid being taken advantage of.
In this guide, we have compiled the best strategies to obtain easy cash during a crisis. Read along to know more.
Understand the Available Credit Options
Depending on the situation and the amount of money required, you may have multiple credit options to consider. Here are some fast-approval debt options:
- Payday loan: This is a short-term, high-interest loan for smaller amounts of money.
- Short-term loans: These loans have a longer repayment period than payday loans and are usually accompanied by a high interest rate.
- Cash advances or charging on credit card: An easy way to get money when you are strapped for time is to withdraw money from your credit card.
- Peer-to-peer lending: You can also borrow from friends and family. Compared to repaying an online lender or bank, your loved ones might not charge you high interest rates, and the terms would be far more flexible.
Personal loans from reputable lenders or banks are often more transparent and give you access to a much larger sum of money than payday loans. However, the application process can be extensive and isn’t the ideal solution in an emergency.
Check the Lender’s FCA Certification
You should only borrow from FCA (Financial Conduct Authority) registered lenders. This will ensure that you borrow money from genuine lenders and avoid phoney deals. The FCA ensures that payday lenders fairly treat their customers and offer legally compliant financial services. If anything untoward happens with the lender, as a borrower you can always approach the FCA for redressal.
It is extremely important to check the lending agency’s FCA certification. Online lenders and FinTech firms need to showcase their FCA certification on their websites. You can also check the FCA website to see if the firm you are considering is registered with them.
Check the Contact Details of The Lender
It is not possible to borrow money from a bank or lender’s office or branch during an emergency. Online lending offers the ease and flexibility to apply for loans from anywhere and at any time. However, this also makes you vulnerable to scams and fraudulent activities.
Cybercrime is on the rise, and many fraudulent websites almost mimic genuine websites. The best way to differentiate between the two is to check for the contact details. Genuine websites will showcase their address, phone number and email address on the footer of every web page and might even have a separate ‘contact us’ page with their details.
You can also check if the phone number is working or the address is genuine by searching the Internet.
Verify the Legitimacy of the Website
One of the best ways to make sure you aren’t getting duped is by verifying whether the website is fake or legitimate. Apart from checking the contact details, here are some other details to look out for:
- Check if you can spot any obvious grammatical errors or spelling mistakes on the website.
- Check the website’s SSL certification. The best way to verify this is by checking if the website URL is prefixed by ‘https’ or ‘http’. The former indicates a valid SSL certification. Web browsers such as Google Chrome, Microsoft Bing, and others will also highlight a closed padlock sign indicating that the website is safe.
- Look at reviews on social media and popular forums.
Create an Emergency Fund
The best way to obtain fast and fair loans is by borrowing from yourself. This is why it is highly imperative to build an emergency fund. Make it a habit to contribute a certain amount of your income towards an emergency fund every month. This money should be saved in a high-interest savings account and used only when absolutely necessary.
It is recommended that you save three to six months’ worth of essential expenses in your emergency fund. Thus, if you suddenly find yourself without a job or critically ill, you know there is a safety net to fall back upon. It is also important to repay any money taken out of the emergency fund as quickly as you would if you were taking out a loan from a bank or other organisation.
Wrapping Up
If there is one thing in life that is certain, it is the uncertainty that surrounds it. When it comes to emergencies, it’s best to be prepared beforehand.
You can always be proactive and conduct research regarding genuine lenders who offer quick loans at competitive rates and terms. Additionally, by building a positive credit score and repaying previous loans on time, it becomes easier to obtain loans at more affordable rates and with quicker approvals.
Having an emergency fund or asking for assistance from friends and family should also be considered when you seek fast and fair loans. Making financial arrangements for the future is the most financially savvy decision you can make.