What To Do When You're Faced With A Financial Emergency

As much as we hope, pray, plan, and prepare, a financial emergency can strike at any time, but with some help from Southwest Title Loans, you can handle any unexpected financial burden.

Among the most common reasons for bankruptcy in America are medical expenses, income loss, and unsustainable mortgage costs. If you are ever in one of these situations, there are several things you can do to prevent total financial ruin, including applying for a title loan.

Below, we’ve detailed several ways to get through a personal financial crisis.

How To Handle A Financial Emergency

Let’s start at the beginning and walk through what you should do if you find yourself in need of extra money in an emergency.

1. Don’t Make A Snap Decision

Panicking is the absolute worst thing you can do during a financial emergency. You’ll blow the situation out of proportion or make a poor decision based on fear of the unknown.

We recommend taking a moment to truly evaluate the situation before jumping to worst-case scenarios. Lay out all the options for handling the situation and consider each one carefully, making a pros and cons list if necessary.

2. Cut Corners In Your Budget

Depending on how significant the emergency expense is, you may be able to cut current expenses in order to handle the unexpected cost.

Some examples of this include daily coffee runs, gym memberships, and subscription services.

You could also sell unnecessary items to raise money. You may have electronics, clothing, or accessories that could generate extra money in a time of need. Selling a second car is a big-ticket item that could give you all the cash you need.

3. Pick Up A Side Hustle

There are lots of ways to earn extra income beyond your regular 9-5 job. Turn a hobby into something that pays, drive for a ride-share company, or take on a weekend or after-hours job to stimulate your budget in a trying time.

Consider Short-Term Loans

The examples above are all great ways to get extra money, but they aren’t immediate sources of income. By definition, an emergency expense is something that can’t wait, so when you need money right away to cover a bill, rent, or emergency travel expense, these might not work.

To get fast cash, there are a couple of fool-proof options. 

A Loan From Family Or Friends

Borrowing money from friends or family can be humbling, but for the most part, they would be willing to help you out in a time of need.

To reduce awkwardness after the fact, set forth loan guidelines in writing about repayment and interest (if any will be accumulated).

Apply For A Title Loan

Title loans are fast and convenient. At Southwest Title Loans, you can borrow up to $15,000 against the value of your lien-free vehicle title for emergency expenses. It’s easy to apply, and most people have their money the same day.

Prevent Financial Disasters If You Can

The best option is to protect yourself against a financial emergency. If possible, abide by the following guidelines in your personal finances.

Have An Emergency Fund

Experts recommend putting 2-3 months’ worth of living expenses (at minimum) into savings.

Another way you could do this is to have several small accounts, each earmarked for a specific emergency expense - appliances and home repair, auto repair, or emergency medical expenses.

Have Insurance

Home, car, health, even pets… Having insurance on everything you possibly can will protect you against loss, injury, or damage.

Regular Maintenance And Checkups

Perform maintenance tasks on your home and vehicles so they hold up well for as long as possible. Similarly, take care of your health by visiting your doctor annually for routine checkups.

Apply For A Loan To Ease Financial Stress

If you decide that a vehicle title loan is your best option, Southwest Title Loans can help you through the application, and within as little as 30 minutes, you could see the full loan amount appear in your checking account.

All you have to do is fill out the loan inquiry form on the website to get started. Information about you and your vehicle is sent directly to a loan agent who begins working on an application right away. They will give you a call when it’s time to move forward with your loan.  

This initial phone call is the perfect time to ask questions and get clarification about all aspects of title loans, especially if it’s your first time applying.

The final step is to bring your vehicle in for a brief inspection to determine the maximum value of your loan. An alternative to this online process is to walk right into one of our convenient locations and speak with an agent right away.

Get Started Today

If you find yourself facing a financial emergency, we hope these tips and ideas will help you to navigate a potentially difficult time. And if you decide that a title loan is the best course of action, we are here for you today.

Nothing could be simpler in times of financial stress, so don’t hesitate to fill out our online Southwest Title Loans inquiry form to alert us of your interest. Do so, and we will be calling you soon after!

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.