Smart ways to manage multiple loans – Stay at the pink of your financial health
Loans are something inevitable when you deal with your regular finances. There are times when you may fall short of cash but you have a big expense to meet at that time. Personal loans are the safest alternative to take resort to during such situations. While there are personal and cash advance loan firms like 24Cash from which you can get instant cash advance loans to bridge the gap between your income and expenses, one thing that you should be careful is handling several loan accounts.
These days there are several individuals and businessmen who are handling multiple loan accounts as they may have taken out more than one type of loan in order to meet their soaring expenses. Hence, whenever you’re handling several accounts at the same time, make sure you know the tricks. Here’s help for you.
- Keep a close watch on your credit
Anyone who deals with borrowing money should keep a close eye on his credit score. Yet, there are a good number of people who are totally unaware of their credit score and credit report. You have to be aware of the fact that your credit report speaks a lot about your money habits. When you have taken out multiple loans, you will know how the load of debt has an impact on your credit rating. Try and have a healthy credit history and negotiate your way to lower interest rates.
- Combine your loans
Would you wish to consolidate your loans in order to reduce the debt that is distributed among several lenders? If you prefer the idea of transferring your balance to low rate cards, you should commit to transfer the entire balance before the introductory rates are slashed off. You will still get 0% APR on cards and you have to watch out for these.
- Negotiate with creditors to lower the rates
Try and find a way in which you can somewhat curb your interest rates on loans. Will you be able to qualify for low rate credit card? If possible, you can negotiate with your creditors and ask them to lower your credit card rate so that you could pay less on your personal loans. There are hardship programs too where you can relate your financial hardship to your creditor and get better terms on your loans.
- Pay more on what is needed every month
In case you ever get a hold on the windfall or find that you need extra income, you should think of applying it towards the debt that you have. There are some who think of keeping the debt around while they use up the extra money in their emergency fund but that depends on the debt obligation that you face.
Hence, when you’re eager to handle your multiple debts, you should keep in mind the above listed tips to handle them in a smart way.