There comes a point in everyone’s life when they need to make a big purchase. Sometimes you’re saddled with the task of buying your next car. Other times, you need to buy new equipment for your kids’ peewee sports leagues. And sometimes, you want to do something fun the whole family can enjoy.
Unfortunately, running a household isn’t cheap, so you won’t always have the cash you need to make your big purchase. So what are you and your family supposed to do? Check out this list below. Here are three ways you might be able to afford what you need.
Take out a Line of Credit
Depending on your big purchase, a line of credit may be the right option for you. These financial products are a safety net when an unexpected emergency expense arrives when you’re short on cash.
So what qualifies as an unexpected emergency expense?
According to the experts at CreditFresh, it may include medical bills, auto repairs, and household maintenance. They stress it must be unanticipated yet avoidable issues.
In other words, your regular bills or long-term goals don’t count.
Is it hard to get a personal line of credit if you have bad credit? Not necessarily. With some research, you may find a personal line of credit for people with bad credit.
Save up the Money
If it isn’t an emergency, there’s no ticking clock forcing you to make your big purchase — even though you may want to get it over with as quickly as possible. This gives you some time to prepare.
Take advantage of this time and find ways to save, making sure to cut unnecessary expenses that tie up your cash needlessly.
Not sure where to look? Here are two expenses that will get you saving:
- Takeout: If you can’t go without completely, cut how often you dine out or get takeout in half. Experiment with affordable meal plans with interesting recipes, so you aren’t tempted to order food.
- Subscriptions: Between premium podcasts, music apps, streaming services, and food deliveries, subscriptions probably take a big bite out of your budget. Streamline them down to just one or two to save up.
Barter for What You Need
Sharing and trading are two growing trends that could help you family this year. Both take money out of the equation, but it may take some more effort or time on your part.
If you need a tool or kitchen gadget, consider checking to see if your local community has a tool library. They work much like a reading library, but instead of books, you check out tools, devices, and other costly gear. You may have to pay a membership, but it’s cheaper than buying these items outright.
If you can’t find a library, don’t worry. The bartering economy is blooming online. All you have to do is trade your time or belongings for something you need — no cash necessary.
Check out these sites to see what you can trade:
Bottom Line: You Have Options
If you have a big purchase planned, think about these options wisely. You can wait until you save up enough money, try trading, or use a line of credit in an unexpected emergency. Pick the one that works best for your family.