Nobody wants to imagine, let alone prepare for it. A natural disaster can destroy years of hard work, success and stability in a blink of an eye. If you have been hit by a natural disaster, all is not lost. If you have been wondering where to turn when a natural disaster upends your finances, there are several options at your disposal.
For instance, you can get immediate aid agencies and the government. All the same, you still have a financial recovery journey to begin. Fortunately, FEMA offers a wide range of help.
What to do Right After a Natural Disaster
First Things First: Deal With Your Immediate Needs
It is okay to feel anxious and confused after the strike of a natural disaster. Start handling the immediate needs first. You can reach out to the Federal Emergency Management Agency (FEMA) and request help. Local and national agencies and d NGO’s such as Red Cross can also help. You can contact them by calling them on 211 from any phone.
Work on Your Financial Issues
Natural disasters can significantly affect your finances. You must tend to them as soon as possible. Eliminate all unnecessary expenses from your budget. For instance, if your home is significantly destroyed, contact your utility and services agent and request them to stop billing. Here are other ways to respond if your finances are affected by a natural disaster.
Accept and Take Advantage of Aid
Taking advantage of relief resources can save you money and quicken your recovery. It is crucial that you register for assistance as soon as possible. Do not wait. You can check out DissasterAssistance.gov to confirm your eligibility to request grants, amongst other assistance. Additionally, Management Agency offers clients loans at relatively low interest.
Reach Out and Seek Help From Your Creditors
Reach out to your credit company and check if you qualify for any financial assistance. However, you must stay on top of any late payments.
Explain your situation and negotiate with your credit card companies with a clear budget. You might be able to reduce or skip a payment, defer a loan and avoid late or missed repayment fees. Your creditor may be accommodative and offer flexibility, although it will probably not last long, and you will need to be clear on when you expect to catch up on your payments.
If you have a great credit record debt consolidation Florida might be a perfect option. Remember that the responses and options offered might differ with different creditors and sometimes with different agents of the same company. Sometimes, the answer you get is not exactly what you want the first time. Do not hesitate to call again and negotiate a better option.
Be sure to understand and follow the terms of the relief to the letter. For instance, if you are late or skip a payment, which is your new repayment date, how much interest does it accrue?
Find a Long-Term, Reliable Strategy
While finding and reaching out to creditors can give you a breathing moment, you still need to analyze your new and future financial position. Consider your credit card, personal and medical loans and figure out if you can clear them in the next five or so years while still handling the daily expenses. If you can, debt consolidation Florida is one of the best options, especially with a good credit record. Other options for a long-term strategy include:
What is Loan Consolidation?
If you have numerous financial commitments and struggle to handle the repayments, you can combine them into one loan and reduce your monthly payments. You can do this by borrowing enough money to clear all your debts and start paying off to only one lender.
Debt consolidation loans attract lower interest rates compared to credit cards. Besides, you can borrow much more money. The rates vary based on factors such as your credit ratings and the amount of money you owe. Here are some valuable debt consolidation tips for Floridians:
Have a Clear and Realistic Budget
There must be a clear plan and budget for debt consolidation to work. A simple budget has a clear allocation for debt repayment money, retirement savings and emergency funds.
But that is not all. A good budgeter avoids getting deeper into debt by considering infrequent expenses, including vehicle registration fees, and accounting for specific times of the year, such as holidays when the expenses hike.
Keep Away Your Credit Cards
A basic consolidation rule is avoiding using your cards when working on a debt. People go to the extent of cutting up their cards, freezing them in ice and locking them away.
While the commitment devices seem a little extreme, they have been effective in helping people realize their long-term goals. The best way to stay committed is to understand and write down why you want to live debt free and your payment plan, then set timely reminders to check on your progress.
Evaluate Consolidation Products
Balance transfer cards allow users to transfer their debts to other cards free of charge. Generally, you will be charged no interest for some time (usually between 15 and 21 months). A high-interest rate will kick in after the period elapses.
Only clients with high credit ratings and high and reliable income sources are eligible for these cards.
A customer who aims to improve their chances of qualifying for one must combine all their sources of income. This includes the funds in your 401k and savings account. You can then have all that in debt consolidation application.
Natural disasters such as floods, earthquakes, hurricanes and drought come with numerous financial effects. More significant disasters have wrecked plenty of money in damage.
If you are wondering where to turn when a natural disaster upends your finances, there are several options at your disposal. Take time to analyze and understand your current financial position and take advantage of financial aid to reduce the pressure and quicken the relief.
Remember to reach out to your mortgage, credit card companies and other creditors, explain your situation and discuss the way ahead. You can also go for debt settlement and relief options when dealing with large loan amounts beyond your ability.
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