Many people come across money issues at some point in their life and getting back on track can be tough. However, there are some financial options that can tide you over until you manage to get a new job, or up your funds somehow. Here are some of the financial options you have to help you out with money troubles.
Take out a loan
If you can’t manage to make ends meet and you’re looking for some money quickly, there are emergency options like short term loans that can be paid back when you get some money. It’s only recommended to use these if you can pay them back in the period of time stated, always remember to check the terms and conditions before signing up for the loan.
Use an overdraft as backup
Using an overdraft isn’t so bad if you need some extra money or you just need a top up to last you until the end of the month when you get paid from work. It’s best not to keep adding more money to your overdraft if you don’t have much coming in, as then it will be more difficult to repay it in the long run. Try to budget if you’re using an overdraft and don’t forget it isn’t your money to spend, you will need to give it all back. It’s also worth checking the overdraft interest and service charges with your specific bank.
Borrow from family or friends
If you are really struggling you could ask to borrow money from your family or friends. This will probably be the last resort for most people but if you know you can pay it back you won’t end up feeling so guilty. Family and friends are often happy to help out if they know when they will get the money back. This probably isn’t an option you’d like to rely on though and there are many other ways to sort out your financial problems for yourself if so.
Apply for Universal Credit or job seekers allowance
If you happen to be out of work and this is what is keeping you back from paying off your debts, you can always apply for Universal credit if you lost your job due to Covid-19. If not, you can still apply for a job seekers allowance if you don’t have an income at the moment and you are constantly applying for work with no successful outcome. If you end up claiming job seekers allowance you will need to visit the job center regularly to prove you’re applying for work. This might also be helpful for you as they have new jobs regularly coming up they can inform you about.
Create a bill payment plan
It might be your simple outgoings that are getting you into debt, like bills and rent. If you owe bills like council tax for example, you can call and set up a payment plan. This is a much better option than letting the debt stay there and build up. You can also apply for subsidies if you aren’t currently employed or you have an excuse for not being able to pay at this point in time.
So, now you know you shouldn’t worry as there are many options out there to help you with financial difficulties until you get back on track. When you have money trouble it can feel difficult to sort it out but you have to stay motivated with budgeting and slowly but surely pay things back.