Cheap and free ways to borrow money if you’re struggling
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CHRISTMAS can be a difficult time of year for many families with all the extra expenses. Between the rising price of energy and higher mortgage rates, coupled with the ever-growing cost of Christmas Day itself, it’s no surprise that many of us are feeling the pinch.
![[The festive season can be an expensive time of the year, with many families left struggling]](https://www.thesun.co.uk/wp-content/uploads/2024/12/CE9GCWjpg-JS916295373.jpg?strip=all&w=960)
The good news is that if you’re facing an emergency such as a broken down car or boiler, there are plenty of low-cost ways to borrow money. However, remember that taking on debt should usually be a last resort used only for necessities. Whereas if you’re after some winter sun, or new clothes, it might bebetter to save up first.
![[But for those facing an emergency, there are low-cost ways you can borrow money]](https://www.thesun.co.uk/wp-content/uploads/2024/12/2BWWEE4jpg-JS686022971.jpg?strip=all&w=960)
The exception to this rule might be if you qualify for interest-free borrowing, which can help you spread the cost of big purchases. But this only works if you pay back what you owe in the interest-free period. Make sure you’ve factored repayments into your budget and thought about whether you could afford them if you lost your job or became ill.
Another reason you might choose debt over saving is for the extra financial protection that a credit card provides, thanks to Section 75 laws. This means that sometimes it makes sense to book things like holidays on credit, rather than using your debit card.
However, you should pay the balance off in full before you’re charged any interest, otherwise that financial protection will come at a hefty cost. If you do need to borrow money, whatever the reason, it’s important to do so as cheaply as possible. The higher your interest rate, the more of your hard earned cash will go directly into your lender’s pockets.
