Say No to a Loan Shark, Yes to these Alternatives

Just because you know how to spot a loan shark doesn’t mean you will keep your distance. Many people are attracted to loans from these lenders as they can get the money they need, in a hurry, without the need to complete a long application that is typically required by a more traditional lender.

Of course, your good idea may soon turn bad once you realize what you have gotten yourself into. For example, you are likely to be paying an ultra-high interest rate. Furthermore, these lenders are not the easiest to get along with.

Rather than seek out a loan from this type of lender, why not consider a more conventional alternative? Just because you say no to a loan shark doesn’t mean you are out of luck. These are the types of alternatives to consider:

  1. Bank loan. The application process may be long, but that is no reason to write off this idea. Many people find that borrowing from a reputable lender puts them in a better place. If nothing else, speak with a local bank about your options. You may be surprised at what you find.
  2. Credit card. You should never run up a high credit card balance on items you don’t need. However, this is an option to consider if you need money in a hurry for a good reason. Good reasons include everything from car repairs (so you can get to and from work) to medical bills.
  3. Friends and family. You don’t want to jeopardize your relationship with a loved one over money. Even so, if you are in a tight spot, there may be somebody in your life who is willing to help you out. Don’t simply request a loan. Instead, let the person know when you will pay it back and that you are willing to tack on interest.

Saying no to a loan shark may be the best financial decision you ever make. There are financial alternatives, such as those detailed above, that make much more sense.

1 Response

  1. Elizabeth
    I borrowed $6,000 from a loan shark, I'm paying $1,440.00 in interest a month, I have a decent job I'm in desesperate need to pay this loan off and just make a payment of $500.00 on the loan, I tried my local bank and they said no, my credit score is around 600 so I know I would have dificult finding a lender, but can you help in locating a lender? I borrowed the money for my mom's knee surgery I have save $14,000 of the $20,000 the surgery cost and she was wheelchair bound, the last few months so it was a priority.

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