Taking out a loan is not always the best option when you need money.
But if you find yourself in a bind, there are a few guidelines you should follow to make sure you get the best deal.
The first step when considering borrowing money to pay bills should always be to look inside first, according to Winnie Sun, a financial advisor.
Sun, co-founder of Sun Group Wealth Partners in Irvine, Calif., Said she called the practice “for-profit shopping.”
The idea is simple. You go through every item in your budget and see where you can find money to save. A big opportunity right now is your auto insurance premium, according to Sun. Many people drive less and can renegotiate their rates according to their lower consumption.
If you’ve exhausted your budget and still need the cash, Sun has a few more suggestions to share. Watch this video to see your options and to find out what interest rate it considers reasonable.
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Disclosure: NBCUniversal and Comcast Ventures are investors in Tassels.