What are my options if I need money today?

Unexpected costs can happen at any time. A car repair, urgent household expense or important bill can leave you looking for a way to cover the cost before your next payday. If you need money today, it is important to understand your options and think about what you can afford before making a decision.

Check your finances first

Before borrowing, look at your current budget. Check how much money you have available and when you next expect to be paid. Consider your essential costs, such as rent, Council Tax, energy, food and travel. This can help you work out whether you can cover the expense without taking on new borrowing.

We would also advise delaying non-essential spending until you have been paid, helping you make the most of the money you have available until your next payday.

Could you use your savings?

If you have savings, using some of them could be an alternative to borrowing. However, it is important to consider whether you need to keep some money aside for other unexpected costs. Having an emergency fund separate from your usual savings can give you a financial cushion for unexpected expenses, such as urgent repairs or essential bills.

If you do not have enough savings or an emergency fund available, there are other options you can consider.

Speak to the company you need to pay

If the money is needed for a bill, contact the company before the payment is due. They may be able to offer more time to pay or agree a payment plan.

This can be particularly useful if you are worried about missing a payment. Explaining your situation early may give you more options. The FCA recommends contacting your provider as soon as possible if you are finding it difficult to keep up with payments, as they may be able to discuss options for changing how or when you pay.

What about a payday loan?

A payday loan is a type of credit designed to cover an unexpected costs until your next payday. When used responsibly and for a cost you can comfortably afford, short term loans can provide a useful way to manage an important debts without having to wait until you are next paid.

Before applying, consider the total cost of the loan, when your repayment is due and how the repayment will fit into your budget. As with any form of borrowing, taking out a loan carries a risk if you are unable to meet the repayments.

How much are people borrowing in the UK?

Borrowing is a common part of managing household finances in the UK. According to an FCA survey, 84% of UK adults held at least one loan product in the previous 12 months.

The FCA also found that around 1.6 million people with loans used them to help cover everyday expenses such as food, travel or rent. This highlights how loans can be used for a range of financial needs, including managing unexpected or essential costs.

Think before you borrow

If you need money today, there may be several options available. Consider your budget, look at alternatives and make sure you understand the cost of any borrowing before applying. If you are already struggling with your existing repayments, taking out further credit may not be suitable. In this situation, free and independent debt advice may be a better place to start.

If you decide that a short-term loan is suitable for your circumstances, BingoLoans can provide information about its borrowing options. Learn more here.