A financial emergency can affect absolutely anyone.
Without savings, it might be caused by a vehicle breakdown or an unexpected household bill. Even with an emergency buffer, everything can suddenly change.
With nobody immune to a financial emergency, what should you do if one happens?
– Take a deep breath
Nobody would blame you for panicking, but that isn’t a response that will help you. This is the time to keep calm so that you can regain control.
Evaluate your situation.
How much extra money do you need?
Are you looking for a short-term solution or something that will be more long-lasting?
– Create a new budget
Look at your household budget. Record all outgoings and income. Look for any bills that you can reduce, or subscriptions you can cancel completely.
You may find that, by trimming your spending, you can get around this emergency. Small savings can give you breathing room.
If you need to borrow money, make sure you choose a licensed moneylender in Singapore. If you’re panicking, you might be tempted to go to less reputable sources. With a licensed moneylender, you can trust that you’re borrowing in a safe way.
A less reputable lender might send you into long-term financial trouble. They may offer no support and could tempt you to make poor financial choices. Don’t let your emotions lead you in the wrong direction.
Since you’ve already created a budget, you should know exactly what you need to borrow.
Don’t take a personal loan that’s larger than you need it to be. Give yourself the best chance of paying off your debt and help yourself to get back to normal as soon as you reasonably can.
This is not the time to borrow a bit more to replace your ageing television. Apply for a loan that covers only the essentials and repay it on time every month.
– Prepare for the future
A personal loan will almost always be there when you need it. Yet, you don’t want to rely on these as a form of financial support. Once you have repaid your loan from a licensed moneylender in Singapore, you should work to build a savings buffer that you can rely on in future. By putting away just a small amount each month, you’ll give yourself some savings for emergencies.
If now is the time for a loan, get one from a legal licensed moneylender.