Being a single mom is challenging in itself and if you're a single mother that is trying to improve your family's financial situation, I have great news for you. There are numerous debt solutions that you can use to get out of debt and achieve your financial goals. In this short article, we will discuss the various sources of financial help that are available to moms like you.
1. Governmental grants. Government grants are financial assistance that does not have to be paid back. Although grants are challenging to find, the benefits far outweigh disadvantages that you may experience. To find this type of assistance, conduct a search on the Internet for "government grants for moms" or "government grants". Then, when you find one, you can use the received money to pay off your debts.
2. Personal loans. Personal loans are available from private companies, banks, and lending institutions. With this type of assistance, you'll have to pay back the loan after a set period of time. In addition, to qualify, you'll have to prove your credit worthiness. For instance, if you have outstanding credit and a high credit score, lenders will likely seek you and offer favorable terms. However, if you do not have good credit, your choices may be limited and you may have to pay a bit more.
3. Bank or credit union loans. Just like personal loans, bank and credit union loans have to be paid back. These loans are offered through banks lending institutions and credit unions. With these debt solutions, you have to qualify as well. To receive favorable terms, you often have to have good credit.
4. Credit cards. One option is to acquire a lower interest credit card. With this option, you consolidate your highest interest debt onto a lower credit card – hopefully one with a lower interest rate and better terms. Then, the amount of money you save in interest can be applied to debt reduction.
5. Car title and auto loans. With these types of loans, you give the lender a lien on your car or auto in exchange for a loan. The terms of these loans vary depending on the state and amount of the loan you're seeking. If this does not seem like a viable option, you can consider refinancing your car with an auto loan at cheaper rate than you're currently paying. This will then free up money that you can then apply for debt relief.
6. Payday loans. These loans are closely related to car title loans. However, with these types of loans you do not have to put up any collateral (like your car title) in order to get the loan. However, you will likely pay higher interest rates and high fees. In some instances, you may even pay a prepayment penalty if you pay it off early.
In conclusion, there are many debt relief alternatives that are available for single mothers including government grant programs, credit cards consolidations, personal, auto, payday and even bank loans. In order to find the right debt solutions for you and your family, evaluate your personal situation carefully. In no time at all, you'll find the right solution and will have better control of your debt.