Compare And Get No Or Low Interest Loans
If you are low on cash or have some financial troubles, you may only be aware of payday or cash loans as your only option. There are other ways to get money without having to pay much more than you owe.
- How no interest loans work
- Having trouble paying your utility bills?
- Renting things may cost you in the long run
How no interest loans work
There are some no-interest loans available, but they aren’t free of cost. Many no-interest loans have conditions that could cost you in the long run.
A no-interest loan represents the ability to borrow money and only make payments on the principle- nothing more. But you’ll still want to review the loans to evaluate their additional costs, like origination fees, late fees, and promotional periods.
Sometimes, these no-interest loans are only introductory offers that expire within a certain period of time. If you fail to pay your balance in full by the end of the promotional period, you will find that you incur deferred interest- retroactive interest on the entire balance- right as that period ends. It’s also difficult to qualify for these kinds of credit. It’s common to need to have very strong credit to get approved.
Where you can find no-interest loans
There are a variety of locations that offer these kinds of loans- including retailers who offer their own financing. Here are some of the places that offer no-interest loans:
- Non-profits & religious organizations
- Specialist lenders
- Government grants and benefits
- Retailers of furniture and electronics
- Car dealerships
- Medical providers
Having trouble paying your utility bills?
If you’re having difficulty paying your water, phone, gas, or electric bill, don’t get a loan. Instead, contract your utility provider. In most cases, these companies have hardship plans to assist you with manageable payment plans.
These plans may include deferring your payment another month or breaking up your payments into installments. See problems paying your bills for the steps you can take with your utility providers.
Nonprofit interest-free loans
There are organizations that offer no-interest loans for tough financial circumstances. When you find yourself unable to pay for necessities and need emergency assistance, nonprofits like The International Association of Jewish Free Loans will offer no-interest loans as temporary assistance for those in need. They will be pre-designated for specific purposes like emergencies, home healthcare, and shelter.
Renting things may cost you in the long run
If you don’t have enough cash to pay for something upfront, paying for it a little at a time by renting it may seem like a great idea. But the monthly installments can quickly add up and you could end up paying more than you bargained for.
There are better ways to get the money you need than borrowing money at a high cost. Check out all your options and do your best to avoid accruing more debt.