With the constant barrage of bad weather facing the UK over recent times and the 24/7 coverage on the television, it is not difficult to imagine what would happen if your home felt the full force of nature. Sometimes, regardless of how prepared that you may believe that you are, something happens which is absolutely beyond your control leaving you to find an immediate influx of cash to rectify the problem. If you are fortunate enough to have savings to dip into this may not be too much of an inconvenience. However, if this is not the case, you will be faced with a huge problem.
Make Sure To Take in the Bigger Picture
Emergencies often come as a bolt from the blue but if you are making a substantial investment in something such as a house or a car, it is essential that you consider any future risks to your finances. When looking to purchase a house, you must factor everything that you can into your thought process. With so many houses prone to flooding at the moment, is the house located near water or on a steep hill, for instance? Is there a high crime rate? Are businesses closing nearby? These are all things which could involve your finances, either directly through needing to pay for repairs etc, or through loss of value in your property itself. This also applies to buying a new car. Does it have all of the necessary safety features? Will it be parked in a safe area? If the answers are no, you may have trouble waiting for you ahead.
Have You Got An Emergency Fund?
All it takes is one emergency or unforeseen situation to create a deep hole which may be difficult to get out of. If this is the case it is very important that you have a financial ‘safety net’ of money in place to help you pay for emergency repairs or similar. For more information on building an emergency fund – http://www.investopedia.com/articles/pf/05/emergencyfund.asp
How Much Should I Save?
There are a variety of different thoughts regarding how much you should aim to save. Whilst some people suggest that you have between 3 and 6 months’ worth of essential expenses behind you, other says £1000 should be enough to see you through some situations until other arrangements can be made. However you view emergency funds, if it is at all possible, you should ensure that you have one in place which will allow instant access should you need it.
Keep an eye on current affairs, the local news and the weather reports daily to ensure that you don’t miss anything important. You may need to take precautions if a big storm is on the way, for instance, and the more pre-warned you are, the less likely it will be that you or your property will come to any harm.
Whilst the idea of an emergency fund is a great one, not everyone is lucky enough to have the disposable cash needed to make one. If you find yourself in this situation and need cash quickly, the loans available from www.solution-loans.co.uk could offer the ideal solution. Available for sums of up to £10,000 repayable over up to 5 years, they will typically be granted to applicants regardless of their credit history, so long as they have someone willing to guarantee the repayments. Therefore even if things seem bleak in the time of a financial emergency, it is important to remember that realistic options still exist.
For more information on guarantor loans UK – http://www.independent.co.uk/money/is-a-guarantor-loan-right-for-you-8500128.html
If you would like any further information regarding how these loans for bad credit can help you, please view the video below.