Now and then, even the most fiscally conservative person needs cash in a flash. Here are the first two possibilities in Part One of our series, Cash In A Flash.

Many people react to a lack of money by ignoring the fact, burying their head in the sand because of personal embarrassment. This, of course, only makes matters worse.

If it's any consolation, you're in good company. Over the years, a number of famous people have run out of cash. Charles Goodyear's experiments led to a process for vulcanizing rubber, but he was such a poor businessman that when he died in 1860, he left his family $200,000 in debt. Mark Twain, the author, declared bankruptcy in 1894 because of bad investments. And then there was Phineas Taylor Barnum. He overextended himself in real estate and an especially ill-advised investment in the Jerome Clock Company sent him into bankruptcy. Barnum then bounded back and founded Barnum & Bailey's Circus.

In more recent times, Walt Disney, Debbie Reynolds, Larry King and Donald Trump have all filed for bankruptcy at one time or another in their lives. And, then there's Michael Jackson, a mystery yet to be resolved.

Personal Loans

It's a well-known fact that more often than not, finances and friendship do not mix well. In fact, loans from family members and friends have a high default risk. However, such a loan need not rupture a relationship if it's handled in a businesslike manner.

Set up formal written plan, including the amount of the loan, the repayment schedule and the interest rate - just as a banker would.

$TIP: Use a promissory note, available at stationery stores or download one from: www.lawdepot.com. Sign and date the document.

Refrain from asking for money at a social or family gathering. Doing so puts your friend or relative on the spot with other people around. Instead, make an appointment to discuss your financial situation. At that meeting explain how much you need to borrow, why, for how long and where you will get money to pay back the loan. Explain that you will pay interest. Use prime as your benchmark. Your rate can be slightly above or below prime.

Life Insurance Loans

If you have a cash value type insurance probably, you will probably be able to borrow 75% to 90% of its cash value. The positives are: rates are usually very low, you're not required to give a reason, and you'll receive a check within two weeks or less.

Although you are not required to pay back the loan, you obviously should do so when your financial crisis has passed. The original purpose of the policy was to protect your family. Should you die while the loan is still outstanding, the policy's death benefit will be reduced by the amount of the loan.

Less Is More

USA Today Newspaper recently ran an article about a movement that's sweeping the country - owning just 100 items. The trend is in reaction to the recession and the concept many people share -- that Americans are materialistic.

But even members of the "I Own Just 100 Items" trend find ways to bend the rule. If, for example, you have 15 pairs of shoes in your closet, you might count that as a collection and therefore just one item!

Nevertheless, it's an interesting and thoughtful approach to managing to live by the architect Mies Van Der Rohe's philosophy, "less is more."

If you don't need a huge amount of money to carry you over to your next paycheck or your next job, why not sell things you don't need?

Hold a garage sale, take them to a consignment shop or sell them on eBay. You could also place ads in local newspapers and on various community bulletin boards. Really valuable items should be placed in an auction.

Among the items you might get cash for are:

Athletic equipment              Games

Boats                                  Jewelry

Books                                  Paintings

Clothing                              Silver items

Dishes                                 Small appliances

Furniture                             Toys

Vehicles

STAY TUNED: Next week we will discuss the pros and cons of margin account loans.

Note: If you skipped the history of architecture while in school...

Mies van de Rohe (1886-1969) was a German-American architect who, along with Walter Gropius and Le Corbusier is widely known as a pioneer of modern architecture. He called his buildings "skin and bones architecture." In addition to advocating that "less is more" he was also fond of saying "God is in the details." Many of his buildings are in Chicago and perhaps his most famous is the Seagram Building in New York City.