Banks and credit unions are preferred lenders when borrowing money for the best interest rates. Be aware of the interest rate on a loan prior to signing a contract. Some places may charge up to 300 percent. In particular, you should try to avoid “Pay-Day Loans” and “Car Title Loans” for short term needs. Alternatives may include among other things less expensive short-term financing from another financial institution, family, or friends, a cash advance on a credit card, an account with overdraft protection, or a loan repayable over several months.