If you need to get your car fixed but don’t have the money to pay for it, there are ways to raise money. You can use reverse commuting, job access, and even GoFundMe to help you pay the bill. There are also ways to negotiate with the repair shop.
Job Access and Reverse Commute
The government provides a variety of programs to help low-income individuals with their car-repair bills. Depending on the type of repair, these programs can cover the cost of new tires, maintenance work, or other repairs. However, these programs are limited in funding and can only be used by a limited number of organizations. To learn more about these programs, call the United Way’s 211 hotline.
Depending on where you live, the federal government may be able to help you get the car repairs you need. Through the program known as Job Access and Reverse Commute (JARC), the federal government provides low-income residents with free or low-cost car repairs. While JARC funding is limited, it can be a big help for people who need a new car or need a repair and have no money.
Short-term personal loans
If you need to get your car repaired but don’t have the money in your wallet, you can use an emergency loan. These loans are good for common repairs like broken tires or blown transmissions. However, it is important to remember that more expensive repairs, like replacing a camshaft, can cost several thousand dollars. Other repairs, like lost keys, can cost only a few hundred dollars. Using a credit card for large repairs is also an option, but there are pitfalls to remember.
While emergency car repair loans are good for emergency situations, they can be expensive. A better option is to set up an emergency fund and set aside a small amount every month for emergencies. It is important to shop around to get the best deal.
GoFundMe
If you’ve recently suffered a car accident and need repairs, you may be asking yourself, “How do I pay for these repairs?” Car repairs can be expensive, and if you don’t have the money to pay for them yourself, you may have to borrow money. There are several options available to you, even if you have a poor credit history. If you need to borrow money, look for safe options that won’t ruin your credit score.
One option is to apply for a government grant. One example is the Job Access and Reverse Commute program, which may provide funding for minor auto repair costs. However, this program is not for everyone and is intended for families with limited incomes or welfare recipients.
Negotiating with the repair shop
If you have no money to pay for repairs, you can try to negotiate with the repair shop. Some shops may even offer payment plans, or will offer a discount for those without savings accounts. Other shops will accept credit cards, and you can ask them to set up a monthly payment plan you can afford. This can help you avoid the high costs of repairs while ensuring you get a quality repair.
Before negotiating with the repair shop, make sure you know what services are essential and which ones aren’t. Some services, such as oil changes and tire replacement, are non-negotiable. However, when it comes to specialized repairs, you can negotiate on both the labor and parts. Before negotiating, ask for an itemized rundown of all the charges for the repairs.
Credit card payments
If you need to pay for auto repairs but don’t have the money to pay for them, you may be tempted to use your credit card. However, credit cards have high interest rates, and you may be stuck with a high balance. Furthermore, you don’t want to spend more than you have available on your card.
Instead of using your credit card, you should look for a loan that has the lowest APR. Credit card interest is high, and it compounds daily, so your debt can mount quickly. A 15% APR, for example, will take 56 months to pay off, while a 20% APR will take 67 months to pay off. That means that you’ll end up paying over $1,300 in interest. Your credit score will be affected by the amount of credit you use, so it’s a good idea to use only a small percentage of your available credit.
Other options
If you don’t have the cash needed to get your car fixed, you should consider applying for a personal loan. This type of loan is usually approved the same business day and allows you to pay it back over time. These loans can also have fees and interest attached, so it is important to know what you’re getting into before applying.
