I am sure everyone is affected by the pandemic that has happened. Some of you still have your jobs. What if you lost your job?What if you have an emergency come up which the result leaves you in a financial bind?
It is hard to predict the economy’s ebb and flow. It is even harder to predict your own personal future. It is better to be safe than sorry. So let’s go over some tips that can help during these times.
So let’s get started!
Review Your Spending Plan and Cut Expenses
The first thing to do is to go through your spending plan. You can adjust to any situation.
Go through your bank statements. If you use a spreadsheet to keep track of your spending, see what you can cut out.
Order less take out. Buy less junk food and non-essential items at the store. Cancel Netflix for a month. As you can see there are plenty of random expenses that add up.
These small changes can save you from some overdrafts. They also can free up some space for emergency food.
Get a Hold on Your Debt and Call Your Debtors
Regardless of where you are in life, you have accrued good or bad debt of some sort. If you have bad credit you still need to make sure it’s getting handled.
The first thing you need to do is write down your debt. Your interest rates need to be included. Last write down how long you have to pay it off.
The next step is seeing where your debt is held. You can use Credit Karma or any other credit report agency to check this out. If you have money in collections, it will show it here.
Finally, if you are making payments to any of these contact them. If you are going through a rough time they are willing to work with you. They may let you skip a month, or lower your payment a lot.
In the end, all they care about is getting their money.
Keep an Eye on Your Credit Score
This is a big one. I read a good analogy of your credit report. It’s like checking your body weight while you are working out. The only way to see your progress is measurements.
This is the same here. Your credit improves the same way. I am not saying check it daily. It’s more of a once a month thing. This is where you can keep track of your progress.
Sign up for a free credit report at CreditKarma.com. It updates every 10 days. So once you pay your bills, check it a few days later. You’d be surprised about how those small payments help out over time.
Don’t Be Afraid to Ask for Help
You lose your job or find yourself in a bind. Your funds are running low. You are about ready to dip into your emergency fund. You are running out of options. What do you do?
A support system is a great thing to have. Don’t be afraid to talk about your financial situation. Especially to your friends.
If you ask, some people have connections and can help find you work or side hustles. They may also be generous and give you some money.
Regardless of your situation there is always a solution. Don’t be afraid to ask for help. I am not saying make it seem like you are begging by any means. Friends and family are there to talk to. You can’t get help if you don’t ask for it.
There you go. Some basic tips to get you through hard times. ‘Till next time!