Getting Disability Loan Assistance

lifh 15 Comments Personal Finance

There are numerous grants and benefits available to those who are disabled and their families. Those eligible for disability loans include individuals who are physically disabled, mentally disabled, or are responsible for the care of someone who is disabled.

It can be difficult to make ends meet when you are disabled, which is why disability loans have grown in popularity. There are now many options to help with every day needs such as repayment of medical bills; paying monthly expenses such as mortgage/rent, equipment, and vehicle repair; in addition to help with paying outstanding dues or membership fees (physio). So how do you go about finding this funding and what are the best options for you?

The first place to start is to look at all the benefits you may qualify for, benefits.gov provides a directory of numerous assistance programs.

While benefits are a great way to help reduce the costs associated with different expenses and needs; sometimes cash is required for unexpected costs.

Be aware of who you borrow from as there are certain irresponsible lending organizations that prey on those who are in vulnerable financial situations (Payday loans).

Below are two of the more popular methods of getting disability loans along with the risks and benefits of each. There is also a 3rd option which may be the best.

 

Same day Disability Loans (beware of)

Same day disability loans are typically offered by private companies and offer a way for the disabled to get money quickly in order to settle debts and address financial emergency situations. It usually only takes a few minutes to apply for funding sources and even those with bad credit are typically approved, albeit for much higher interest rates and fees. These loans are suitable for anyone with disabilities, even those who are already receiving government assistance and just need a little more money to pay off standing debt.

Benefits of receiving same day disability loans are the flexible and easy approval criteria, poor credit history is generally ok, the application process is quick, applicants receive funding on the same day, and even those already receiving government assistance are eligible. Risks include steep interest rates for loan repayment that may result in even higher debt. Most of these loans are essentially a modified version of a payday loans so be sure to review the terms carefully and do some due diligence on the lending company; search for complaints on the company as well as business reviews.

Government Disability Loans

Government disability loans are separate from other government disability assistance as they are still associated with a repayment of debt. The difference between government disability loans versus same day disability loans are that government loans have strict approval criteria making them more difficult to get, meaning not just anyone will be eligible, the application process is longer, and eligibility may also be affected by whether or not you already receive government assistance.

Benefits to opting for a government disability loan include better interest rates, better repayment terms, and better customer service with mental and emotional support. Risks include not being eligible for the loan due to poor credit history, a potentially lengthy waiting period to receive funds, and ineligibility due to already receiving government assistance.

Being disabled or being responsible for the care of someone who is disabled can be very expensive. Dealing with disability carries its own types of challenges and added financial pressures doesn't make anything easier. Knowing were to get support and genuine financial support can help alleviate some of the financial pressures.

The two main ways to acquire disability loans are micro-loans, a quick but expensive option, and government loans, an exclusive and slower option with better rates. Each individual’s specific circumstances will dictate which loan option is feasible or best for them. With any big financial decision, make sure you understand the terms completely and try not to make any decisions while under pressure.

Other Practical & Quick Options

One of the quickest ways to find out if there are reputable lenders in your area that provide genuine disability loans is to check with your local Community Action Agency or Financial Counsellour. They are unbiased professionals who will be able to point you in the right direction. They may also know about different non-profits that provide services to something you may want or need.

In addition, contacting your bank or credit union can be a great option as they may not actively advertise specialty loans that they provide; such as disability loans. There are instances where the government or large non-profits partner up with local and national banks to provide specialty services to veterans, low income earners and the disabled.

Please share any local or national disability programs that would be of assistance to those needing help with finances, medication, transportation, equipment, etc.

 

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