If you find yourself in a jam and needing money, there are a few ways to get some money when you need it. I’ve read about these but don’t know the details on all of them, so please consult your significant other or a financial expert before deciding what to do.
- Sell your investments.
- Take out a margin loan. You can borrow up to half the value of your taxable investment account.
- Tap your home equity
- Research government aid. Go to USA.gov and select “Benefits and Grants.”
- Boost your take-home pay. Figure out the correct number of allowances to claim on your taxes. Adjust the number if you got married, had a child, or bought a home this year. Know about this year’s new tax breaks: $7500 tax credit for first time home buyers and $500 property tax deduction ($1000 for joint filers) for homeowners who don’t itemize.
- Cash convenience checks. These are the blank checks that credit card companies send you in the mail.
- Borrow from your 401K.
- Withdraw from your Roth IRA.
- Tap your life insurance.
- Borrow from strangers. Peer to peer lending sites are becoming more and more popular. Here are a few of them: 40billion, Lending Club, Pertuity Direct, Loanio, Prosper Marketplace, Zopa, and GreenNote.
- Lean on family and friends. Just don’t take advantage of them.
- Find another job or start a small business. More details on this to come.
There are positive and negative attributes to each of these tips. Please do your research to figure out which one is the best for your situation.