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Best, worst ideas to raise money fast

AnnMcgill, Live 5 News

CHARLESTON, SC (WCSC) - Car repairs, doctor's visits and home repairs can put you in a tight spot for cash. So according to cnnmoney.com here are the three best ways to raise some money fast without paying for them later with major regrets.

First, ask the folks, or other relatives or friends. If someone you know can afford to give you the cash you need as gift, that's your best bet.

Number two, take out a home equity line of credit. It's a way your house can pay you, just remember, you will have to repay the loan with interest.

And number three, borrow against your 401(k). You'll get the money fast, but as with a home equity loan, you will have to pay it back with interest.

Now, here are the three worst ways to get some fast cash. These will cost you big so they should definitely be a last resort.

The first worst way to get some fast cash is to take out a cash advance on your credit card. There are up front fees and if you don't pay in full at the end of the month, you could be looking at interest rates of 20 to 30 percent.

The next worst way is to cash out your 401(k). This is only an option if you are leaving or losing your job because the fines are steep. There's a 10 percent penalty from the IRS, plus taxes. You could lose anywhere between 35 and 50 percent of your hard earned money in taxes and fees.

And the absolute worst way to get money in a hurry, take out a payday loan. The interest runs 200 to 500 percent, making it the type of loan you may never be able to pay back.