With no emergency savings to fall back on, you can derail your laid spending plans. If you cannot make it an entire two weeks until your next paycheck, try these options to get money now.
You need to find another way to solve your short-term liquidity issues. In a perfect world, you would not have to access a part of your paycheck early to afford, say, buying groceries.
But millions (63%) of Americans live paycheck-to-paycheck. And they may need an option when their cash flow is especially tight.
If budgeting is a problem, consider setting up a personal spending budget. Another option is to learn some low-income budgeting techniques.
Luckily, there are several apps out there to help you. Let’s take a closer look at these options to help you stretch your funds further.
Solo Funds app
Solo Funds app is an app that offers peer-to-peer (P2P) micro-loans from $50 to $1,000.
It’s designed to cover an emergency expense, like last-minute car repair bills. Or an unexpected medical or child expense.
How does the Solo Fund app work?
Compared to other smaller dollar loan apps such as Earnin and Dave, Solo fund is unique. Solo Funds app isn’t tied to employee paydays and doesn’t loan any money itself.
Instead, it crowds sources the job, letting users request loans in an open marketplace. In exchange for taking on the risk, lenders can earn tips of up to 12% of the original loan value. With the exact amount being set by borrowers in advance.
Loans can be as small as $50 and can range up to $500, but Solo doesn’t let new borrowers request whatever they want. To increase what they can borrow, users must develop a track record of paying back loans on time.
Doing so contributes to a borrower’s Solo score, which lenders use to gauge the risk of any loan.
Solo’s marketplace reflects the dynamics of real credit scores. Users with no history of the platform pay higher tips, around 8% on average. But as borrower’s reputations improve they can garner more favorable loan terms.
Longtime borrowers tip around 3% and 5%.
For borrowers who don’t pay back their loans on time, Solo charges the borrowers a one-time late fee of 15%. It also charges a $5 administrative fee.
Beyond that, the amount that borrowers owe doesn’t compound or increase.
Why is Solo Funds App beneficial?
- Borrowers set their terms
- There is no interest charged for the loans on the platform
Earnin app
Earnin offers a service like a payday loan. It lets you use their next paycheck as collateral to get money the same day.
Earnin works by deducting the amount you borrow from your account on your next payday.
How does Earnin App work?
To use the App, you must have the following;
- You must have direct deposit to a checking account set up through your employer,
- Have a consistent monthly and either work at the same location each day
- Use online timesheets to track your hours.
Your paycheck advance is determined by the amount deposited into your account. Meaning your paycheck must be at least $4 an hour after deducting your taxes.
Why it’s beneficial
- Earnin encourages everyone to be kind to our community
- Earning doesn’t charge interest or fees
- The app also offers help in negotiating medical bills.
Klover app
Klover is another paycheck advance app. The app offers interest-free cash advances from the money you have already earned.
How does the Klover app work?
To get started with Klover, fill out some information, and connect account. You will get asked a few questions to help you get your profile started.
Once everything is set up, it can take up to 48 hours for everything to be completed.
If you are in a pinch for cash or trying not to overdraft your account, request a “boost” for the money you need. The money should come in 1-2 days for free, but you can deposit it in 2-6 hours for a fee that ranges from $4-$15.
What are the benefits of Klover?
- The app offers cash advances and other financial tools.
- Klover doesn’t charge an interest fee
- No credit check
Meet Cleo
Meet Cleo is a financial assistant designed for Gen-Z. It helps to find creative ways to save and invest your paycheck.
How does Cleo Fund work?
Cleo works with most major banks. The app analyzes your spending patterns to understand your financial health. You can connect many bank accounts to Cleo if you want to centralize your finances within the app.
You can get extras such as cashback or a salary advance of up to $100 as part of Cleo’s subscription service.
Cleo costs $5.99 a month and offers extra features such as salary advance, cashback on your spending, and a savings account.
Why is the Meet Cleo app beneficial?
- The app tracks your spending
- The app helps you to set a budget
- It also helps you save money and get money now