Unexpected financial emergencies can happen at any time, though with the coronavirus outbreak going on, they seem to be happening more often than usual.
How will you handle a financial emergency if it happens to you?
Here are a few steps you can take to help ensure that you’ll be able to handle any economic impact you might face.
Now isn’t the time to panic. Sit down and carefully evaluate the entire situation. The last thing you need is to allow yourself to become even more stressed.
Keep your emotions in check so you can make sure that you’re making the right choices so you can avoid enabling any further hardship.
You will have some bills that must be paid ahead of others. If you can’t pay for all of your bills, you need to prioritize which of those bills should be paid first.
Of course, the most important bills are related to food and shelter. Otherwise, you should look for any expenses that you can do without for the time being.
You should also look for hidden expenses, such as streaming programs or subscriptions you may have forgotten about, that are no longer in use.
If you’re able to find five expenses that equal $20 each, you’ve already saved $100 a month. Those smaller expenses can add up more quickly than you might realize.
Many credit card companies and lenders have financial programs in place to help those who have fallen on hard times. This is especially true while the coronavirus outbreak is going on.
Give them a call and see what they might have available to offer you. The last thing you want to do is wait until you’ve already become delinquent on payments.
You might be surprised at how many lenders will be willing to work with you. Some examples of the ways they might help is by lowering interest rates or temporarily delaying payment requirements.
While no one likes to ask for money, sometimes you may have no other choice. Don’t let pride get in the way of helping your family make it through a tough situation.
Proceed with caution if you do this, however, and make sure that you try your best to pay your friends or loved ones back if they do help you.
The government has programs in place to help people who are facing sudden financial hardships. If you lose your job, the government has loosened the requirements to apply for unemployment benefits, and you might be eligible for more than the usual state minimum.
Your taxes help fund these programs, so don’t feel ashamed if you need to make use of them. You may also qualify for state and federal benefits like Social Security Disability or Medicaid.