You are facing an emergency while low on funds can be devastating and frightening. How can you cope with an emergency with little to no emergency funds available? This article with go over possible options to help with the sudden expense, and ways to cope with the extra financial stress.

Options for Dealing With an Emergency Expense

When an unexpected necessary expense arises, such as a needed repair on a heating or air conditioning unit, a medical emergency, or a critical car maintenance expense, there are ways to meet your current needs while not compromising your regular budget.

1. Take advantage of interest-free financing from medical offices.

Often, medical facilities offer payment plans to assist with necessary medical treatments that can allow you to get the care you need and pay for it in monthly installments over time.

2. Look into in-store credit or other finance options that offer interest-free financing.

In-store credit options may allow you to pay for needed appliances without being charged interest for a certain amount of time. If you pay them off in the agreed-upon terms, you may be able to avoid any interest on your payments.

3. Take advantage of your assets.

Universal life insurance and retirement plans offer you the ability to take out a loan from the money you have already paid into your account or policy. These loans are often the easiest to acquire, which can make a big difference when you are faced with an emergency.

4. Take out a personal loan.

Personal loans offer flexibility during an emergency because you can use the money for whatever you need. They also offer a fixed monthly payment, which can make it easier to budget your monthly expenses while caring for your immediate needs.
A personal loan may also offer lower interest than a credit card or other line of credit, but this may not be the case for everyone, so make sure you understand the terms of the loan before committing.

5. Take advantage of credit cards with 0% introductory APR.

Many credit cards offer an introductory option of 0% APR. Some may even offer 0% interest on balance transfers from other credit cards, allowing you to tap into this option even if you have already put your expense on another account.

How to Cope With the Extra Financial Stress

All of these options can help you deal with the immediate demands of an emergency. However, adjusting your long-term budget can help you keep your budget in check, even in the wake of an emergency. These tips can help you move forward after an emergency expense:

6. Make all payments promptly.

Avoid costly interest and delayed stress by making your agreed-upon payments until your debt is paid down.

7. Avoid extra unnecessary expenses while you pay down your debt.

Particularly if you acquired a credit card to help with your emergency, resist the urge to rack up more debt.

8. Begin to build up an emergency fund for future emergencies.

Even if you have limited funds to put towards future expenses, starting the process of saving will allow you to feel more in control when unexpected events occur.

Emergency or unexpected necessary expenses can be stressful, but you have options. Taking advantage of low or interest-free payback options can help you meet your current needs while not falling into an insurmountable amount of debt.
Paying your emergency expenses while not racking up more debt and continuing to add to your emergency fund can help you not be caught off guard in the future.