The best personal loan lenders offer great loan products at a low interest rate, but they are not the only game in town. If you need money to fund a project or pay an unexpected expense, here are two other options:
A credit card can provide fast cash in an urgent situation. If you qualify for a card with a 0% APR introductory offer, you have months (generally between 12 and 18) to pay the debt off with no interest. One caveat: Never use a credit card with a 0% transfer offer unless you are confident you can pay it off in full before the promotional rate expires and the interest rate shoots up to its standard rate.
Secured line of credit
A secured line of credit can help you snag the best rates for personal loans. That’s because a secured line of credit requires you to risk something of value as collateral. It may be your car, home, boat, jewelry, or other property of value. The lender typically charges a lower interest rate because it knows that if you default on payments it can repossess whatever you used as collateral and recoup some of its money.
All financial decisions — including whether to take out a personal loan — can have serious implications. Take time to decide if a new loan fits comfortably within your budget before rate shopping the best personal loan for you.