What Crisis Can Teach Us About Money
April 7, 2020 | Mason Roberts
With the rise of a new virus spreading throughout the world, many Mississippi residents are dealing with hard financial situations. Studies show that before the financial impact of the virus, many people throughout the United States were living paycheck to paycheck. The coronavirus is teaching Americans something important about saving and money. Rather than overspending and not worrying too much about global financial issues, it’s best to follow guidelines for financial stability as well as save for emergencies. Having emergency funds, ways to get funds quickly, and getting them in a pinch like through the use of Mississippi title loans and payday loans, are great ways to keep yourself going during financial hardships.
What to Learn from the Coronavirus
While minor hardships, such as needing better transportation or repairs, are temporary issues that are easier to buffer, the huge shift in the economy is not. Being dependent solely on that paycheck every week or so is a killer during a financial crisis like this. Everyone should follow some simple money-saving guidelines to better prepare for financial emergencies like coronavirus. However, by learning a few tips, you can better handle these unforeseen situations impacting your work. Some key things you should learn include:
- Budgeting Wisely
- Not Overspending
- Managing Debts
Budget Wisely and Easily with Apps
Easy ways to budget are more accessible than ever with free apps that you can download on your phone right now. One of the best skills to learn to make money is budgeting, and having access to your budget anywhere makes it easier to control. By maintaining a list of expenditures, you can better manage your money and monitor your spending. Since many people do not save between paychecks, learning to free up some funds to go towards your emergency fund is vital. You can also invest in your savings in other ways such as setting up a retirement fund or investing.
When push comes to shove, there are probably many things you buy that are not necessary or are a bit too expensive. For example, some name-brand grocery items such as milk or cereal can be expensive compared to generic brands. Many supermarkets offer cheap generic alternatives to popular foods, which you can take advantage of. Generic non-brand name alternatives can be half the price of their counterparts and only differ mildly in taste and presentation. Hunting for deals and substituting your favorite brands for generic ones can help you save money at the grocery store and build up your emergency fund.
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Another great way is to take a break from all unnecessary purchases. While at the store, always take the time to ask yourself if you truly need what is in your cart. You may find many things you buy are not exactly things you immediately need. The money you saved can go towards closing old debts or other essentials. Avoiding unnecessary purchases can free up funds that can go towards something that will help your business, savings, or investments in the case of a financial crisis.
Communicate with your Bank
One thing the coronavirus has taught many people is that communicating with your bank and loan providers is key during a crisis. Many banks and loan providers will work with individuals if the client communicates their problems. During the crisis, a lot of loan providers are waving late fees if the client asks for an extension. Rather than simply not paying because you can’t, you may be able to instead work out a deal to pause or lower payments. If you are going to be late and know well ahead of time, and it is due to situations like losing your job or health emergencies, then many companies will work with you.
Manage Debts As Soon As Possible
It is extremely important to manage your debt as soon as possible to reduce financial obligations in the case of an emergency. For example, if more than half your paycheck is going towards credit cards and other monthly payments, then you should get rid of them as soon as possible. While you may be approved for a low-rate 24-month payment plan, you should instead consider saving up and buying what you need outright. That way, you have fewer long-term payment obligations to worry about. After all, with the cost of health insurance, car insurance, car loans, credit card payments, and student loans- the last thing you need are more monthly payments to keep track of.
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Consider a Mississippi Title Loan Today
Mississippi Title Loans, Inc. can provide you with competitive loan products to help with a financial emergency. If you own a vehicle, then you may be able to qualify for title loans and up to $2,500 in as little as a single banking day, or even same-day in some cases. Do not hesitate to go online today and take the first step towards getting the cash you need quickly.