Get Approved for up to $35,000 in 3 minutes
Apply Now
Blog Categories
Loan Calculator

What are Emergency Loans and How Can You Get One?

Written by Jessica Steer
There comes a time in everyone’s life when a pressing emergency arises. Emergencies can be expensive and leave you in a dilemma if you don’t have the cash on hand. To come up with the funds needed to cover this unexpected expense, you may have to turn to an emergency short term loan.
Table of Contents

    Fortunately, there are many financing options available to cover an emergency cost that are easy and quick to obtain. While you can’t predict when an emergency will occur, you can educate yourself on how to obtain financing to cover an unexpected cost to ensure you’re prepared for the worst. At Spring Financial, we help you prepare for the worst and hope for the best!

    What is an Emergency Loan?

    An emergency loan is a form of financing for individuals who need quick cash to cover an unexpected cost. Anything that constitutes as an emergency cost would be a good reason to get a fast emergency loan, such as a:

    • car repair
    • visit to the veterinarian visit
    • job loss
    • Unforeseen health problem

    One significant advantage of emergency loans is they can be obtained quickly. With an online lender, the borrower is bypassing the traditional banking route. Banks typically have long, rigorous application processes that require the applicant to make multiple trips to the institution. With emergency loan lenders, you can often get approved the same day you apply. Many consumers are perfectly happy to avoid the intimidating and lengthy process associated with banks, phew!

    Emergency Payday Loan vs Emergency Personal Loan

    When it comes to online emergency loans, there are two major types you will come across, payday loans and personal loans. Payday loans are designed to fill the gap between paycheques and use a percentage of your paycheque as security. Personal loans, otherwise known as installment loans, are secured or unsecured loans that are versatile in use.

    As a general rule of thumb, personal loans are better than payday loans. Payday loans have extremely high-interest rates making them one of the most expensive forms of financing out there. To make matters worse, payday loans have very short repayment periods, usually around a week or two. If you can’t come up with the principal plus the pricey interest in the repayment period, you could end up in a vicious cycle of debt. In fact, many payday loan lenders prey on desperate individuals in search of quick cash. For this reason, payday loan lenders can be deceptive and misleading thereby causing you to sign off on a loan that is unreasonable.

    On the other hand, personal loans have more reasonable interest rates and longer repayment periods. A personal loan is typically structured with a monthly payment spanned out over several months or years. In addition, you can often take out more money with a personal loan compared to a payday loan. This means you’ll be guaranteed to get the cash you need to cover the cost of your emergency. Finally, personal loans can be secured or unsecured. Using collateral can make your interest rates lower, but keep in mind that you risk losing the asset if you default on the loan.

    In conclusion, there are a variety of options when using personal loans that can all be customized to your unique financial needs. When it comes to emergencies, you want to make the situation better, not worse. Personal loans are a great way to do that!

    What is the Quickest Way to Get an Emergency Loan?

    The quickest way to get an instant emergency loan is online. Application and approval processes are very rapid when using online financing. No appointments are necessary, unlike with banks and other traditional financing institutions. Also, it is easy to do quick research on lenders and financial products before making your decision.

    Spring Financial can help you obtain the financing you need for an emergency. There are a number of benefits to obtaining an emergency loan online with Spring Financial as described below.

    • Rapid Application Process: The online application process is very quick, it takes merely five minutes to complete.
    • Good Credit Is Not a Requirement: Fretting over whether your credit will be good enough to get approved for financing is one of the most stressful aspects of application processes. Thankfully, you don’t have to stress with online loans because it is not a requirement!
    • Easy to Access. Do you prefer to text? Do you like talking to someone over the phone? Do you dislike trekking to in-person appointments? Spring Financial has got your desires covered! You can apply for an emergency loan via texting or phone calls with absolutely no appointments necessary.
    • Borrow Limit of $35,000. Spring Financial offers installment loans anywhere between $500 and $35,000 which can adequately cover the cost of the majority of emergencies.

    Can I Get an Emergency Loan with Bad Credit?

    Everyone runs into emergencies at some point in their lives, even those with bad credit. If this is you, you may be wondering how to get an emergency loan with bad credit. Fortunately, there are still financing options available to you.

    However, not everyone with bad credit can qualify for an online loan without some extra security. Depending on a few factors, you may have to bolster your chances of approval with collateral or a cosigner. With collateral, the lender can sell an asset belonging to you to cover the cost of the loan if you default, while a cosigner is a third party that signs off on your loan who has good credit. In the event that you default on the loan, your cosigner is responsible for covering the payments and other costs of your loan.

    Can a Student Get an Emergency Loan?

    If you’re a student, it can be tricky to get a loan given that you don’t have ample income. Lenders don’t like lending to borrowers with no income because there is a high risk that they will default. A great way to work around this problem is to use a cosigner. Parents, family or close friends are perfect cosigner options for students.

    Need Emergency Loan Help?

    If you’re in the midst of an unexpected event and need a quick emergency loan, Spring Financial can help you with their installment loan product. Financing with Spring Financial has many advantages that will make your emergency less stressful than it has to be. Reach out to Spring Financial to get an emergency loan today!

    Online Loans from 9.99%*

    Skip the branch visits, apply online in minutes and get the financing you want today.

    Get a Loan Quote

    Subscribe to receive special offers and financial tips

    Subscribe To Our

    Receive Special Offers, and Learn Tips and Tricks to Improve your Finances.