How to Get a Loan When You Have Bad Credit

Unfortunately, for many having bad credit is a part of everyday life. Mistakes and unfavorable circumstances happen, such as hospitalizations, job loss, and repairs needed around the home. These situations can place you behind on your bills, and late payments will reduce your credit score. This doesn’t make you a bad or irresponsible person, but it does reflect negatively on your credit report. If you have bad credit and are in need of a loan, check out the below four ways to get the loan you need.

Use the Equity in Your Home

If you own a home or condo, check and see if you have equity in your property. If so, you could get a tax deductible line of credit and use that to spend how you wish. A home equity line of credit does not require you to have a credit check. You just need to prove to the bank you can repay this additional loan, so having a reliable source of income is necessary. Just be careful with this type of loan since you will be placing yourself in deeper debt and putting your home on the line.

Apply with a Co-Signer

Many people take loans from family and friends and end up at war with each other. It’s a battle of when you are going to pay that person back or what happens if they see you making other purchases?

A way around this is to have a binding contract, and what better way than to ask your friend or family member to co-sign on a loan for you. There is still risks associated with this, such as if you default on the loan and the lender comes after them. However, they don’t have to come out of pocket with any money. If you are a responsible individual and they know you are in need of this money, this is a viable solution. This could be a win-win for you both, as if you make your payments on time, you’ll increase both of your credit scores.

Remember, Money Talks

If you’re borderline with your credit, it’s possible you can convince the lender to give you the loan if you have an above average income. There are some financial institutions that go through a more rigorous underwriting process. They can pull your report and look into the background specifics, such as why your score truly is low. If your income is up to par, you may be eligible for the loan. To the lender, it’s all about getting their money back – money does talk.

Take a Short Term Loan

If all of the above are not viable options for you, there is still another way out. Short term bad loans have a bad reputation. However, these loans for people with bad credit have bailed out thousands every day. You should only take one if you know you have the means to pay it back timely, or else you’ll fall into the loan trap. These loans have extremely high interest rates, so do be careful. You don’t need credit at all for a short term loan, but you do need to provide proof of income and have a checking account for them to draw the funds automatically from.

The above four methods can help you get a loan when you need it the most, even without good credit.

Why I Just Gave Up Freelancing For A Full-Time Gig

In my last post, I talked a bit about my experience in three years of freelancing. What I didn’t share is that I’ve been in discussions to take on a full-time job. And sure enough, Monday was my first day at the job.

So why did I do it? There are several reasons for this.

They made me an offer I couldn’t turn down

At the time, I wasn’t really looking for a full-time job. But I always had it in my mind that I would take one if the right job came along. And then one day a …

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3 Years of Freelancing Full-Time: What Have Been The Biggest Surprises?

My friend Melanie asked me at happy hour tonight what I thought the biggest surprises of freelancing were for me. It’s an interesting question to think about. And to be honest, it’s a little hard to remember back to when I wasn’t freelancing.

But I know I’ve had a few good ideas all along. So if you’re thinking about freelancing full-time, here are some things I learned that may help you.

It takes a while to get started

I planned about 8 months ahead of time to quit my job and go freelance full-time. And yet I thought once I …

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Easy ways to cut the cost of your lunch hour

Update: Even though it’s four years since I first wrote about this, I’m still very aware of it today. The streak has ended (can’t pass up $6 food truck lunches in Portland), but I’m still very far from buying lunch every day.

125 Days.  That’s how long since the last time I bought myself lunch on a workday.  That’s 92 consecutive workdays (and counting).  To me, it’s a huge feat that I’m proud of and has also saved me a ton of money.  Conservatively assuming that eating out for lunch costs $5 more than bringing my own lunch, I’ve saved …

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Why Understanding APR is Important to Your Finances


interest-aprFor most of us, we look at the APR, or Annual Percentage Rate, of our loans and other financial obligations and usually don’t see much difference in them over the actual interest rate. In fact, it’s all too easy for someone to just casually compare the two and figure that they are paying more or less the same. However, this is not true. Failing to consider the APR, especially in a variable interest rate loan, is something that will cause you to slowly lose money over time, because you’ll be paying extra interest.

That’s because where an interest rate is …

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The Next Chapter…

As you may have noticed, Money Spruce hasn’t seen many updates lately. After quitting my job in May 2012 and becoming a full-time freelancer, there’s just been less and less time to write on here.

Today, I’m announcing the launch of my new business: Content Strategy for Do-Gooders.

CWAM is a one-stop shop for content strategy and creation for social mission-driven businesses and organizations. CWAM’s focus is to help these businesses amplify their social impact using effective content to tell their story, find more followers, and develop a loyal tribe of supporters.

Why am I making this change? There …

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Updated: How I Used Free Frequent Flyer Miles to Get $9,000 Worth of Airfare — Twice!

Update: I just booked another trip using frequent flyer miles. This time I’ll be flying to Japan, India, and Nepal — for just $120! The real cost was just 80,000 miles that I earned from a couple of credit card offers.

For those who missed it last year, here’s my strategy that I posted in October 2012. Enjoy!

I’m excited to share how I’m spending a month traveling to Paris and Bangkok – and spending only $140 on airfare (just the taxes). How? It was really easy, actually: Free frequent flyer miles.

No, not the kind you earn from flying …

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Beyond Money: How to Find Happiness in Your 20s (or Any Time)


find-happiness-ThailandI spend a lot of time thinking about how to be happy, and I think I’ve finally cracked that code.

Sometimes I even spend more time thinking about how to be happy than anything else, including my business. Why? Because that’s what matters most. We don’t really want to just have more money, more friends, or more freedom — we just want each of these things to make us happy.

Whether you’re struggling with money, a job, or just surviving daily life, here’s my best advice for being happy no matter what.

Don’t wait – choose to be

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Why I’m Writing One Letter A Day to Thank 365 People

Screen Shot 2012-11-05 at 9.42.37 PM

Today, I’d like to announce a new project that I’ve been working on and keeping a secret for over a month now. It’s called “365 Letters of Gratitude.”

The concept is simple: every day, I spend a few minutes writing a letter to a different person whom I’m grateful to have in my life. Usually it’s just a few paragraphs detailing why these people mean so much to me and the ways they’ve affected my life, large or small.

It’s been hard, but I’ve kept it going for 45 days now. And I’m so grateful that I’ve done …

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How You’re Lying to Yourself Every Day About Your Spending Priorities


I’ve heard a few great arguments made lately about how we make liars out of ourselves all the time with our so-called “priorities.” Many of us say “Travel is DEFINITELY a priority for me” or “I’m serious about getting in shape.” But are these things really priorities? And does the time and money you spend on these things really back up what you’re saying.

JD Roth of Get Rich Slowly first brought this to my attention at the World Domination Summit 2012 when he said “It’s not what we say is a priority, but what we actually DO that’s a …

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