Five Ways to Get Money Fast

Garage Sales, Online Auctions Among the Best Ways to Score Fast Cash

(CBS)  For many consumers, money may be running a little short right now. So, Early Show financial contributor, Vera Gibbons offered five ideas to help round up some cash right away.

Garage sales are the easiest way to make money, Gibbons told Early Show co-anchor Harry Smith.

"That's the place for the small items and portable stuff. Also, people sell stuff on eBay and other online auction sites," she added. "They have over 85 million active members on eBay."

In additon to collectibles, a lot of people are selling their gold jewelry at $9.50 an ounce.

When using online auctions, Gibbons suggests getting estimates from dealers to make sure you are getting the right value.

Some people in a tight financial situation can also consider selling some of their assets.

"You might be too heavily weighted in some areas. It's a good time to look at what you've got. If you have some losers in your non-retirement accounts, stocks, mutual funds, and you sell them, then you get the benefit of a tax break and you get the cash," Gibbons explained.

Interest rates on CDs are at one percent, therefore, cashing in a CD is better than an unexpected expense on your credit card.

People are also borrowing close to home through relatives or friends.

"The nice thing about borrowing from family members and friends is there's no limit to how much you can borrow, beyond what they are willing to lend you," she said.

There are a few things to keep in mind when borrowing from relatives or friends to make sure your relationship stays intact: have it all in writing, including how much, the repayment terms and the interest rate.

If you feel uncomforable borrowing from someone you know, consider what Gibbons calls "peer to peer" borrowing.

"Investors bypass the banks and go directly to you and lend money to you, the cash-strapped consumer," Gibbons said.

Social lending sites, such as lendingclub.com and prosper.com are on the rise and can lend you up to $25,000 at six or seven percent.

"People don't want to go to big banks. They are unresponsive to their needs, so they are looking for creative ways to get the money. It's a blooming business," she said.

Home equity lines can also be a lending alternative for older Americans, 62 and up.

"It's getting harder to do that. They are limiting stuff and reducing your lines if you have a home equity line of credit," Gibbons said. "But if you are new to this game, it's a low possible alternative to get cash. And you have to have good credit and a sizable amount of equity - 20 percent or more."

Despite the fees, Gibbons said the nice thing is you get the money up front, it's tax-free and you get to stay in the home. There is no repayment until you actually sell, move or die.

[Stevenrabago]

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[John_Merritt]

As I read this, it was not so much informative as it was sad. Talk about touching the bottom of the barrel when it comes to options to make ends meet or stay afloat. Where is all that HOPE we have been talking about since the election?

How are we doing on salvaging homes that was promised long ago. Last I heard there were approximately 450K that were saved. CBS you could do us all a favor and see if you could locate some of the 'saved' and interview. Things we would like to know are:

1.) Was it a forced deal they signed.
2.) Was it a deal that will only be temporary, and did they just delay the inevitable?
3.) Did the lending agency give you options?
4.) Did you have to fight and claw to make it happen?
5.) Are you happy with the deal?
6.) What did you learn?

Anyway, thanks for the article Vera and Harry.

[John_Merritt]

In additon to collectibles, a lot of people are selling their gold jewelry at $9.50 an ounce.

You do mean $950.00 an oz. don't you?