An ill child. A flat tire. A leaking roof. A baby shower invite. The list is endless.

As much as we hope we do not run into some unseen circumstances that require funding, life just does not work like that.

So every so often, as you go about your business, you are hit by an expense you don’t quite expect, and as always, you are blindsided. However, in as much as such situations can throw your life in disarray, they still have to be attended to and sorted out.

How do you deal with unforeseen expenses? Here are some expert tips.

Tap into Your Emergency Fund

The whole idea of having an emergency kitty is so that you can deal with situations such as these.

The rule of thumb on emergency funds is to have at least three months of your living expenses saved up. This amount is often enough to cover most emergency expenses that might come up.

Once you open an emergency fund account, it’s important to avoid dipping into it for everyday expenses.

Take a Loan

While an emergency fund sounds great, the rigors of life don’t always make it possible for people to have one.

This does not mean you are completely doomed if you lack one.

One of the options you have is taking a loan. The issue that comes to mind on matters of loans is your credit score.

Granted, most lenders look at one’s credit score to determine how much to lend a borrower and even whether to lend to them at all.

If you have a poor credit rating, take advantage of a no credit check loan.

Borrow From Family

Borrowing from family and friends give you a cheaper option. This is because they are unlikely to charge you any interest.

The other advantage of borrowing from family and kin is that you get a more flexible repayment plan. In essence, late payments will not affect your credit.

However, failing to pay or paying late can create conflict and, at worst, damage your relationship. Therefore, it’s imperative to only borrow what you can afford to pay, remain communicative, and repay the amount as agreed.

Charge a Credit Card

A credit card is another way to sort out an expected bill.

While these mean you are spending money you technically do not have, it can be your only way out of an unexpected expense.

To ensure you do not damage your finances further, ensure to pay this off as quickly as possible. This is the only way to keep credit card interest low.

Closing Thoughts

Unforeseen expenses can be rather frustrating and stressful. While these tips can help you sort one out when it comes up, the best way to deal with them is by having an emergency fund, just in case.