Bangalore: As life is very uncertain, it is not easy to stay prepared for every situation or crises and even your financial requirements to meet certain expenses sometimes seems to be unexpected, but then you are lack of sufficient cash. If you opt for a personal loan from a bank , then it would be an expensive affair as their interest rate are usually anywhere between 15 percent to 24 percent. So to help you choose a cheaper loan option, Vaibhav Aggarwal from RupeeTimes.com has presented 6 alternatives to beat expensive personal loans.

1. Gold loans

Besides making you look beautiful, gold can also save you from financial crisis. You might have heard about gold loans. And you also know that gold loans are popular substitutes of personal loans. Especially because gold loan are offered with lower rate of interest in comparison to the interest charged against personal loans. In order to take a gold loan, you would be required to pledge your Gold ornaments or coins to banks or gold loan companies. The interest rates on your gold loan would be fixed after considering the value of gold provided by you as security to the banks and amount of loan you demand.

2. Loans against insurance policy

Insurance is a good saving instrument and also provides financial support against the damages for which the policy was signed. And since you cannot insure everything for which your insurer would provide you finance help, but then a least you can pledge your insurance policy with banks and borrow loans.  Interest rates charged on these loans range from 9 percent to 13 percent. But banks will grant you loans against those policies only when you have paid their premiums on regular basis for three years or more.