Many financial institutions offer lines of credit, which cost you significantly less than credit cards when it comes to interest rates. A line of credit is often tied to the prime interest rate (at a given percentage above prime, for example). Essentially, this option can provide a maximum amount of money that you can draw on (often $10,000 for an unsecured line of credit), allowing you to access the funds whenever needed, and then pay the money back when you can.

There's usually a minimum monthly payment involved, but again, it's often less than a credit card company would require given the same amount of debt. And although life insurance is often a requirement too, you can reduce the cost by linking the life insurance to the amount that you've actually borrowed, rather than the maximum you could potentially borrow.

The flexibility and convenience of lines of credit make them the funding source of choice for many home-based businesses. A line of credit is also a great way to pay off higher-interest credit card debts — just don't rack up the credit card bills again, especially until the line of credit is paid off. As always, while a line of credit is a good money management tool when wisely used, it's not a replacement for careful spending.