1. Medical Bills
Medical expenses can put a huge strain on your finances. The Kaiser Foundation reckons that nearly 30% of Americans report that they face difficulties paying these bills. The costs for these expenses vary but certain procedures can definitely put you back by hundreds or thousands of dollars.
Fortunately, a medical loan can help you cover bills from the hospitals or doctors. Medical expenses range from hospital stays to ER visits, surgeries or expensive treatments which can all add up. Consolidating all your medical debt to secure low-interest rate is a better option than opting for financing from the healthcare provider.
A $500 loan can be enough to help you kick-start a medical procedure as you look for more funding from your medical insurance cover. Some of these procedures include fertility treatments, cosmeticsurgery, weight loss surgeries, dental services and many others.
2. Home Improvements
Home improvements can become a costly necessity especially with the change in your needs over time. Most people always lack the savings to cover a complete renovation. Home improvement loans become handy at this point.
These loans are meant to fund both minor and major repairs in your home besides covering new updates. They are often unsecured although you can get a secured loan which uses the equity in your house to cover your improvements. Asusual, the terms of the loan and interest rates depend on the type of loan you wish to apply for.
Every loan has its pros and cons and it is necessary to settle on what is suitable for your budget and renovation plans. The two major options are personal loans and home equity loans. Some of the home improvement projects can include plumbing, basementremodeling, electricwork, permits and adding square footage. Each one of these procedures has a different cost.
Home improvements will guarantee an increase in the value of your home. Time-sensitive repairs are essential because postponing any repair can only incur more expenses because of the increased damage over time.
3. Pet Care
Are you a proud pet owner? Well, it is estimated that approximately 71 million US homes have one or more pets. This can be a costly affair. The technological improvements in the veterinary science field have made complex treatments easily available.
Pet management involves funds for food, routine medical care, medicaltreatments, and routine care. These expenses come at very high costs. A pet care loan can be your ideal solution to salvage your adorable “pet friend” when faced with a huge veterinary bill.
Remember, using the loan for your pet care does not provide any income so it is always essential to get a little amount you can easily repay. You can try out a $500 loan to help you offset your needs.
4. Relocating to a New City
The adventure of relocation may come with some benefits such as an easier life or a new job. However, it is never cheap. You will need a temporary place to stay or keep your belongings as you plan to move into a more permanent residence.
The costs of relocation vary depending on where you are coming from, your next destination and the kind of residence you wish to have. Some of the costs you will have to make include rental security deposit, auto shipping, furniture shipping, moving the truck, hotel stays, gas and broker fees.
A $500 loan may not be enough especially if you are moving from one side of the country to another but it can help you cover some of these expenses.
5. Debt Consolidation
Walking out of debts can be easy. Unfortunately for many, this is a tough path with lots of twists and turns. Debt consolidation strategy can help you manage your financial difficulties and give you more freedom over your finances. You can roll your current debt into one new fixed monthly bill.
You can then apply for a $500 loan and select its purpose to be “debt consolidation”. The loan is transferred to your account after which you can use it to pay off your debts. After clearing your debts, you will remain with only one loan to repay with the repayment terms and the fixed rate set by your new lender.
6. Business
Starting a business is a big deal. You can have the planning plus paperwork but sourcing your services or products can be a real challenge. It is not easy to get a startup funding for a business but you can receive one for boosting or expanding it.
The lenders only consider your creditworthiness and your ability to repay the loan. Ironically, your name will be attached to the loan and not your business, making any misstep a personal liability.
7. Growing Your Family
Whether you have a baby or planning to adopt one, having kids comes with numerous expenses. These costs can include baby supplies, medical bills, moving to a larger home among others. A $500 loan can help you cover part of the costs as you seek other financing options.
Does Loan Purpose Affect Your Application?
How you plan to use your loan has an impact on your application. For instance, applying for debt consolidation already portrays you as a “risky bet” than one seeking the loan for medical bills or to buy an asset.
However, it all narrows down to how the lender assesses the risk of your application. Your eligibility will finally come down to whether you meet the lender’s application criteria or you can afford the loan.
As little as it may appear, a $500 loan can help you kick-start your spending spree on many important projects and it can be sufficient for certain financial needs. Always make the best decision when it comes to using your loan because you will have to repay it in the long run.
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