This is an unfortunate situation that can happen to anyone, whether it’s because of a lost job or another misfortune. Here below find out the most important things to preserve the money you still have as much as possible and finding other sources of income.
Prioritize your Spending
Take a hard look at your income, expenses, and debt, and pay close attention which bills to pay first and which bills you can let slide for a while. The ones you should pay first are the ones that would affect most your family’s health and security such as:
Rent or mortgage payment; Essential utilities like gas, electricity, and water; Child support (you risk lose custody rights and even jail); Income taxes (Never mess with the IRS); Car payments (If you get behind, the lender could take your car); Student loans; and maybe… Insurance (medical, auto or home).
Even some of these are negotiable. Most utilities have programs that help services stay up in times of hardship. If you owe taxes, you can contact the IRS for a monthly repayment schedule. If you have a federal student loan, you could have the payments deferred – as long as your loan isn’t in default.
Although it’s not the best tactic, paying just the minimum on your credit cards can help you get by; just make sure you put the cards away and stop using them. And try to cut the bills that aren’t much necessary such as gym memberships, cable TV and other nonessentials. Even phone lines and/or internet access might be sacrifice for a while in your new emergency budget or at least, call the providers and negotiate better rates. Not forget to trim some of your most expensive spending in and out of the house, like with food and transportation. Buy generics, using coupon and even Food banks (a.k.a., food pantries) can help supplement your grocery trips. Do you really need a car for work or the second car?
Find New Sources of Income or Cash
Find a temporary work. Tap your local unemployment agency for help and follow our unemployment survival guide. Even small things like babysitting or running errands can help you stay afloat. You might sign up to become a “Task Rabbit” (Google it) for example, to do simple tasks in your neighborhood and make extra dollars. Consider renting out a room of your home if necessary. Seek government and/or nonprofit assistance. Don’t forget that there are government programs in U.S that could help you get back to financial stability, beyond unemployment insurance and food stamps.
For last, If you need more cash right away, explore loan options with friends and family – usually the best bet, but depends on how comfortable you are asking them and if they could help. If you just need your paycheck a little earlier and you’re an hourly worker at one of many major retailers or corporations, with the App ActiveHours you will be paid pay early and without any fees or interest! If you have a good credit, you can get a decent rate from peer-to-peer lending sites like LendingClub. Like mostly “Latinos-Brasileiros” saying, don’t lose the faith during this challenging time.