Some people are very good at budgeting their money, while others seem to spend every cent they take in and then some. A good rule to live by is to have 3 months savings set aside to cover your bills and expenses, this way, in the event of an emergency; you have the funds to pay for it. Otherwise, if something should come up, you will have to find another way to secure the funds. Luckily, if you don’t have a savings account, there are many ways to cut back on your daily expenses and acquire the money you need to cover the unexpected expense.
Taking Out a Loan
While adding more debt to your monthly expenses, is not ideal, it will help you get over the current hurdle. If your credit is good you can go through your local bank and apply for a personal loan. However, if your credit has a few blemishes, this may not be possible. Thankfully, there are other companies, like BlueTrustLoans.com, that offer short-term loans without the need for collateral and excellent credit. In most cases, they require that you are gainfully employed, a natural citizen and have an active checking account. This, of course, is just a quick fix to the immediate problem and not something you want to repeat. Ultimately, you need to establish a separate account and do away with the need for borrowing for every situation that comes along.
For some people, budgeting comes easy. While for others it seems impossible to do. The good news is that budgeting is easy. The hardest part is discipline. When you have extra money in your account you must resist the urge to splurge. This doesn’t mean that you have to stop living. In fact, creating a budget does quite the opposite. It provides you with a way to pay your bills on time and put some money aside for emergencies. When you do this, things cost less. You no longer have an overdrawn account, a bill that you pay late or possible missed payments. All of these create additional fees that over time, can add up to a lot of money that is better in your pocket than a lender. Sit down and compile a list of all your bills and other monthly expenses and then deduct your total net income. Hopefully, you have money left over. If you do, you can get on track pretty quickly, within just a few months. If, on the other hand, you find out that your expenses are more than you bring in, you will need to cut back on your spending or take on a part-time job until you reduce your outstanding obligations.
Ways to come up with Money to Pay off Bills
There are many ways you can reduce your expenses to come up with extra money to pay down your debt. A good place to start is with your cable company. Most people have many channels that they never watch. If you contact them and advise that the bills are too high many times they will work with you to reduce it down without losing the channels you want. If there’s nothing they can do to help them you can switch to basic service for a few months. You can also clip coupons and wait for sales instead of heading out to the store unprepared. There are many stores that sell the same products, take advantage of this and shop around. In the end, your efforts are well worth it with the savings.
Host a Yard Sale
If you can’t afford to take on any additional debt, no matter how small, having a yard sale can give you quick access to cash. If you haven’t cleaned out your garage, basement, and attic for a few years, chances are pretty good that you have things you no longer need or want that are in good condition. Do your spring cleaning off-season. It’s a win across the board; you get a clean home and make the funds you need to cover your unexpected expense.
Life is full of unexpected expenses. If you plan ahead and have the funds set aside, an unexpected bill won’t cause you to stress. Create a budget and a savings account, so that the next time you need money, you’ll have it.