What are Emergency Loans?
Emergency loans are funds that you can receive when you need to cover unexpected expenses, like a medical bill or a car repair. There are many types of loans that you can get quickly when you find yourself in an unforeseen financial situation, such as payday loans, installment loans, and title loans. Learn more about the types and benefits of emergency loans to decide which loan can best help you cover your costs.
Benefits of Emergency Loans
An emergency loan can serve as a backup plan if you don’t have enough money in your savings to pay for an unexpected cost. Here are some benefits that these types of loans can offer you if you’re facing emergency expenses.
Emergency loans are flexible and can be used for any unexpected expense, whether you need the funds to pay for a home repair or a rent payment. These types of loans can also come with flexible repayment terms and may give you the option to pay off your loan over a short term or make lower monthly payments over a longer term.
Applying for an emergency loan is typically a quick and easy process. You can apply for Advance America loans online or in-store depending on your preference and fill out an application in just a few minutes.
Quick Approval Process
Once you apply for an emergency loan, you may get a decision instantly. Many lenders have a quick approval process, so you won’t have to wait days or weeks to get the funds you need.
Many lenders operate online and allow you to apply for payday loans, installment loans, and other emergency loans from the comfort of your home. An online application eliminates the hassle of going to a bank, credit union, or lending company to get a loan.
When Should You Use an Emergency Loan?
You may need a quick need of cash for a variety of emergency situations. Many of our customers use Advance America loans for:
- Medical Bills & Expenses
Unexpected illnesses or hospital visits that are not covered by your insurance may require a quick jolt of cash to get you and your family back to full health.
- Home Repairs & Renovations
A washer/dryer or refrigerator replacement, a leaky roof, or a busted boiler may mean that you need an immediate fix that goes beyond your budget.
- Auto & Car Repairs
A breakdown of your car could mean additional days of lost work — so accelerate getting back on the road with a quick loan.
- Rent Payment
When an emergency or crisis prevents you from being able to afford an upcoming rent payment, emergency loans can help you prevent late fees and credit damage from a missed payment.
- Travel Expenses
A sudden trip may arise that demands your presence: a fast loan can cover your hotel stay or plane flight to get you there.
- Lost Valuables
When your computer or laptop is stolen or misplaced, an immediate replacement may mean the difference between returning to work and staying home.
- Pet Care Expense
While we love our pets, we don’t always love the veterinarian costs when our pets fall ill or have an accident. Use an emergency loan to take care of the bill.
- Funeral Costs
The worst-possible scenario means being there to support your loved ones, even when your bank account isn’t prepared.
- Tax Bills
When a change in the tax code trickles down to your paycheck, it can be a budget buster. Keep the IRS at bay with an emergency loan.
- Identity Theft & Fraud
If your credit cards or bank accounts are frozen by fraud, a loan can keep you moving until the problem is resolved.
Which Emergency Loan Is Right For You?
Below is a quick review of money solutions available from Advance America. Click here to find out which emergency loan options are available in your state. Be mindful that the type of loan, loan amount and repayment terms can vary based on your state.
|Loan Type||Description||What Do I Need To Apply?*|
Payday Loans are short-term loans of small dollar amounts up to $1,500, depending on your state, that are typically due on your next payday.
Installment Loans provide money right away with the ability to pay back the loan over time in several smaller payments. Terms range from 3 to 24 months and are available both in-store and online up to $3,000, depending on your state.
Title Loan If you own the title to your vehicle, your car is used as collateral for the Title Loan. You can borrow money based on the vehicle's value and keep driving your car while you pay back your loan. Depending on the state, Title Loan customers can borrow up to $10,000 with Advance America.
Line of Credit is an open line of available funds that you can withdraw money from as you need, allowing you to have money that is readily available. Once approved, there is no need to reapply. Depending on your state, you can borrow up to $2,500 for a Line of Credit.
*Requirements vary by state
Alternatives to an Emergency Loan
If you want to explore alternative ways to cover an emergency expense, there are options available. Here are some alternatives to emergency loans:
If your credit limit is high enough to cover the expense you need to pay for, you can use your credit card and pay off your balance over time. If you can qualify for a 0% APR credit card, you won’t have to deal with high interest rates.
Home Equity Line of Credit (HELOC)
A Home Equity Line of Credit (HELOC) is a secured loan that uses your home as collateral. You can draw from these funds whenever you need to pay for an expense. It can take a few weeks for you to receive the funds from a HELOC, so this may not be the right option if you need to pay a bill right away.
Help from a Non-Profit or Charity
You can reach out to a non-profit, charity, or other organization directly to get financial assistance. Search online for organizations in your state that provide help for people in need of funds for costs such as rent, medical bills, and transportation costs.
How to Get an Emergency Loan
You can’t plan for emergencies, but you can have a plan for what to do when they arrive. Advance America is here for you with personal money solutions that allow you to apply, and if approved, get your money within minutes.
Notice: Information provided in this article is for informational purposes only. Consult your financial advisor about your financial circumstances.