Financial emergencies can happen to anyone, at any time. You might lose your smartphone or laptop, your car might break down, or you might face a big and unexpected medical bill.
When the unexpected happens and you realise that your salary and savings are not enough, how can you raise funds quickly to last you until your next paycheck? If you’re not keen to seek monetary help from your family members, here are some options you can consider:
Use a credit card
A credit card can be extremely useful for emergencies. You can use it to settle an unexpected bill (some banks allow you to settle the full bill over time via instalment plans) or to help you with other monthly commitments for the time being.
Once you’re back on your feet, you can explore ways to settle the outstanding debt efficiently, such as via a Balance Transfer programme.
Apply for a personal loan
If you need a significant amount of cash, you can also consider taking up a personal loan. You’ll get a fixed amount of cash that you can pay back over a period of time. However, personal loans require an additional monthly commitment from you, so take some time to research and find the best one for your needs. It is extremely important to understand the terms and conditions of the credit facility you decide on. Our CIMB CashLite offers one of the lowest rates* in Singapore for people who require instant cash.
Sell off the things you can afford to let go off
It can be extremely hard to let go of your prized possessions, but unfortunately, in an emergency, you’re going to have to consider selling off things that are not absolutely necessary. Perhaps it might be better to resort to taking public transport, and putting up your car for sale? You could also resort to downgrading your current possessions, at least till you’re more financially stable.
Take up a side job to supplement your income
Why not take up a side job that can help with supplementing your income, but also doesn’t require that much of your time? For example, you can sign up for ride-hailing services like Grab and Gojek as a part-time driver, or put up your services on sites like Fiverr to showcase your personal expertise.
Financial emergencies can be extremely stressful, but with careful research and decision-making, you can get back on your feet. And once you do, consider setting up an emergency fund for future emergencies.
Important Notes & Disclaimer
*The lowest rate is based on the published rate in the market as at 17 Mar 2020. 3.5% p.a. promotional interest rate is only applicable to New-to-Bank customers who apply for both CIMB Credit Card and CIMB CashLite Personal Instalment Loan. Terms & Conditions apply.
This article is brought to you by CIMB as part of our ongoing efforts to raise the level of financial literacy amongst Singaporeans. Financial knowledge and understanding are key to making well-informed and meaningful financial decisions that will improve everyone’s well-being. This in turn, achieves CIMB’s purpose of advancing customers and society.