Sometimes the need for a loan doesn’t jump up and bite you. It isn’t in the form of an urgent medical bill or a roof that is leaking buckets full of water daily and needs to be fixed. Sometimes it is just a slow, constant drain on your finances that you don’t even notice until you just can’t live that paycheck to paycheck grind anymore – something has to give.

Whatever your situation is, there are some circumstances where a temporary loan can be a permanent fix to your bank account. Here are 8 tell-tale signs that a loan may just be what you need as an answer to your financial prayers.

8 Signs You Should Think About Getting a Loan

1. You can refinance. Loans have an overall connotation about them of being something you want to avoid. Sure, no one wants to be in debt their whole lives. However, in some cases, a loan is actually a good thing.

If you already have a loan, but you have made significant gains in your credit score or your income has increased for a steady period of time, you may want to look into refinancing your old loans into one that has better terms and a lower interest rate.

2. You know interest rates are at a low. If you pay attention to the economic news, you know when it’s a good time to get into a loan and when it’s not. If you have had your eye on something for a while but have been avoiding getting into a loan, the best time to jump into one is when the interest rates are low.

Taking advantage of low-interest rates to make renovations on your home, for example, can be a smart financial move. The increased property value makes a low-interest loan an excellent return on your investment.

3. You’re having trouble making your monthly payments. The world of credit card and loan payments can be a vicious cycle. You make your monthly payments because you want to keep your credit, but you can’t afford to keep up at the rate you are going, so you call your loan company to ask for a lower rate. But you’re making your monthly payments, so they say no.

Sometimes it feels like the only way to get out of that cycle is to just stop making your payments, but that’s a short term fix that turns into a long term problem. Instead, you may be able to take out a personal loan to pay off those bills and turn your multiple high-interest debts into one monthly payment.

4. You have a lender that is giving you a hard time. Getting approved for a much-needed loan is often a relief, but that relief is short-lived if you end up with a lender that turns tyrannical. If you missed the fine print and are now stuck with ridiculously impossible repayment terms, you may look into a different loan to get rid of the one you are in currently.

Another scenario borrowers find themselves in is when your original lender sells off your loan to a new lender who has stricter repayment terms or a higher interest rate. This new lender then can sell your loan to another new lender with even higher terms, and so on. Suddenly your manageable monthly loan is out of control, and you didn’t even do anything to cause it. In this case, it’s time to get out of debt with this spiraling lender and find someone more stable.

5. You need a certain amount of money and you want a fixed monthly payment to pay it off. If you need money for whatever reason – a medical bill, a college loan, etc. – and you want it paid off quickly and without an unstable monthly payment, a personal loan may be your answer.

With a personal loan, you have a fixed interest rate and a fixed repayment schedule. These tend to be higher monthly payments for a shorter period of time, letting you get on with your life after the blip in your road that caused you to need that loan in the first place. You can check out these loan provider reviews to find a lender that is right for your circumstances.

6. You have done the research and you can afford a loan. There are multiple personal loan calculators out there, so if you are considering taking out a loan for whatever reason, you should do the research first. Do you really need that loan? And, can your budget handle the loan payment amount? If either of those answers is no, then you should hold off on that loan for right now. But if they are both yes, it may be time to take the plunge and find a good lender.

7. Your credit is in need of an overhaul. It’s important to keep a close eye on your credit score. Things crop up on there that you may have forgotten about or overlooked. It sounds counter intuitive, but if your credit is decent and you’re looking to improve it, you may need to take out a loan.

This works in a few different ways. Sometimes a lower credit score is because you don’t have enough credit in use. A loan, either in the form of a credit card or another lender with a reasonable credit line, can help you improve your credit score simply by using the card and paying it off monthly or taking out a loan and making on-time payments every month.

8. You have to pay off old loans. You may also find old, outstanding balances on your credit report that you can pay off with a small personal loan, improving your score over time. Taking out a loan to pay off an old loan sounds backwards, but our old selves weren’t as financially smart as our older, wiser selves are, and it may be time to fix our past financial mistakes by taking out and paying off a small loan now.

Taking Out a Loan Maybe Your Smart Financial Move

There are many reasons why getting a loan should be avoided, but there are just as many – or more – reasons why loans can help you make smart financial improvements. From reducing your monthly bills to manageable amounts, helping you pay them off quicker, to fixing old credit mistakes, now may be the time for you to look into a loan.