Cash Loans Individuals who are in urgent need of cash can look for financing in a variety of places. In the ideal cases, one has created an emergency fund and built a financial resource over time. If this is not the case, one can resort to an emergency cash loan. This type of financing can be borrowed in four ways: as a home equity line of credit, home equity loan, charge on your credit card, and signature or unsecured loan. While your banking institution is the first place to look at, credit unions might be more willing to extend a cash loan. Charging your credit card is an obvious way to obtain a cash loan immediately. If possible, use a low interest credit card and make your monthly payment on time. A home equity credit line is a type of revolving credit, with your home serving as collateral to secure the loan. Your house is probably your most valuable asset; so, you should resort to this borrowing instrument only for major items such as home improvements, urgent medical bills, and education. Using a home equity line of credit to cover day-to-day expenses is obviously not the way to go. Often abbreviated as HEL, the home equity loan is also granted against one’s home as collateral. This type of loan is beneficial when looking to finance major expenses, e.g. college education, medical bills, and home repairs. There is a difference between the home equity loans and lines of credit (HELOC). The first type of financing is extended as a lump sum, and the interest rate is often fixed. As a line of revolving credit, the second comes with an adjustable interest rate. Keep in mind that a number of fees may apply to a home equity loan: early pay-off fee, title fee, closing fees, arrangement fees, appraisal fees, stamp duties, and originator fees. Valuation or surveyor or conveyor fees also apply in some cases, but these may be waived. They can also be reduced if the borrower finds a licensed surveyor who inspects the property to be purchased. Among personal cash loans, the unsecured loan is a form of financing supported by the creditworthiness of the borrower, not by collateral. In general, one mush show a high credit score in order to qualify for this kind of cash loan. One type of unsecured loan is the commercial paper. Oftentimes, unsecured debt is used for the financing of small purchases such as unexpected expenses, vacations, computers, etc. The payday loan is another alternative of personal cash loans, but it is generally to be avoided. These loans may come with an APR of several hundred percent and cost you a fortune. Used once or twice as a short-term strategy, the payday loan may be useful if all other sources of financing have been exhausted. For example, if you need an emergency car repair so that you can get to the office and keep earning income. Cash loans such as payday loans should not be used on a regular basis, however. Another high cost loan is the title loan: the borrower obtains cash but risks loosing an important asset such as his or her vehicle.