If your like a lot of folks you have trouble saving money for emergencies and you may not have a credit score high enough to get a credit card.There are some less known ways to borrow money at most banks . Most banks and credit unions have cash secured loans for 2% above CD rate about 3% right now. Here is how it works say you have saved 1000 $ but have been having trouble saving more every time you put up a 100$ you seem to dip into it. Been there done that, hard hump to get over . OK go down to your bank and buy 2 500$ CDs then ask for a loan officer and borrow 1000$ for 12 months against your CDs. The cost is about 85$ a month . Or make it 500 for 43$ a month whatever you can afford .Then take what you borrowed and put back in your savings account .
Why would you do this? Because if your like most people you need to be forced to do something's . You have spent 45$ for the bank to force you to save . You spend 150$ a year for a gym to make you exercise .We spend money on a lot of stuff to make us do what we should with will power alone. Why not pay a bank to make us save money?
Around this area to teach high school kids about credit and savings one bank has been pushing credit builder accounts. Now these are loans for 500$ that the students buy a CD and pay 43$ a month for a year. If they make the payments (or mom and dad does ) they have 500$ at the end of the 12 months. The bank reports the loans to the credit bureau helping establish a credit history for the students.
Here is what I was forced into this year . My house is payed for but I still have taxes and fire dues every year. This year I didn't save enough to cover them , but I had the money. Rather than taking my emergency on hand funds and hoping to replace it.I went down to the bank and made a cash secured loan for this years taxes and fire dues Plus a little extra. Cost 85$ a month but will have most of next years covered. I have in the past used this to buy used vehicle's as a means to force myself to put the money back into savings.
You decide what your savings goal is for a year.
500 =43$ a month
1000 = 85$ a month
2000 = 171$ a month
If you have tried and failed get your banker to help you it cost about 5$ a month.