Financial problems are one of the most common causes of stress and something that each one of us encounters at least once in his life, and mostly much more often. Emergencies in the field of finances and a lack of monies can seriously disturb the peace and upset the balance of life. Situations that seem hopeless at first glance can confuse our minds and prevent us from thinking rationally in order to find the best solution. Some of the most common causes of financial problems are job loss, urgent medical expenses for which we don’t have enough money at the moment, car or house damage that endanger our regular life and functioning as, for example, a leaking roof. Or a dysfunctional engine. Or so many other things. The question is, what are the best ways to deal with situations like this? How to provide necessary funds quickly and efficiently?
One thing is for sure, the possibilities of each one of us are definitely different and everyone resorts to different solutions. A very small percentage of families manage to keep things under control thanks to savings accumulated for years, but these cases are rare. Most will be forced to turn to someone for help or a loan, which often results in even bigger debts in the end. And, according to some pieces of research, six to twelve monthly salary savings are the minimum necessary time to get over job loss. An enchanted circle.
If at this very moment you’re thinking about how to overcome the current crisis, here are some suggestions and tips that could help you.
1. Calm down and slowly analyze the situation
“Oh my God, what am I going to do now?” Is this the first sentence that comes to your mind? Then your face is probably red, you have already started shaking and feeling tears in your eyes, but especially a huge chaos in your head. Calm down – now.
Understandable, this won’t be good news and no one will expect a smile on your face, but you must find a way to think rationally. Slowly analyze the existing problem and try not to convey this negative feeling to all segments of your life. How you deal with the problem will affect what you learn from the situation, and how you implement the knowledge to solve other problems.
The wrong decision can do you a lot more damage and that’s why this is the right time to ask yourself a few questions. How did I find myself in this problem? What is the best way to solve it? How much time do I have?
2. Try to reduce unnecessary costs
This is one of those situations in which you should forget about shopping and spending hundreds and thousands dollars on clothes, travelling or any other thing that actually can wait. Once you’re ready to give up these pleasures for a while, you’ll definitely be more likely to overcome the crisis quickly.
It would be good to gather your family members, explain the situation to them, and agree on a reduction in spending in every sense. Everyone’s contribution is significant. Fitness workouts, extra classes, sports, and a larger allowance in emergencies will be a luxury and the family should be aware of that.
Make sure you have food, a warm home, money to pay bills, and transportation to work. Consider turning off the landline if everyone in the household has cell phones and reach for cheaper packages. Everything you manage to save on will reflect well on the period ahead – reducing costs will speed up the whole recovery process and your life will be the same again.
3. Don’t hesitate to seek help
No one feels comfortable when they find themselves in a scenario in which they have to ask for a loan from a friend or family. Seeking help may seem difficult and uncomfortable, but you should be aware that you’re not alone – problems are always bigger when we keep them to ourselves.
You would be happy to be able to help your loved ones when they need it the most, right? So why not think that way? Advice and experience are always welcome and will prevent you from keeping the mental burden that’ll make you sick and depressed over time.
Most importantly, you’ll get an honest loan for which no one will ask for interest or create even bigger debts for you than the ones you’re in. Friends know your situation best, will have the most understanding and won’t expect anything in return. And you should do your best to remember this as one day they might also come to the point when they’ll need to seek your help.
4. Consider the option of taking a loan (credit)
If you’re one of those who can’t overcome the feeling of discomfort when you need to ask for a loan from a friend, then there are other ways. You can take a loan from a bank or simply a loan from a lender. A different view of things can bring you the ideas you needed to realize that things aren’t so scary and give you the motivation to take specific steps.
Financial institutions offer several personal loan programs and they’re at your disposal at any time. All you need to do is provide proof of your credit history, as well as your current employment and income. After that, a decision will be made depending on whether you meet the conditions. Try to take only as much as you really need and try to avoid inconvenience and loss of property.
If you have poor creditworthiness, you can seek help from many online lenders by filling out a simple form online. Find all the details at this page and consider that option if you belong to this group, as information like this might be pretty valuable when choosing an alternative.
5. Think about how you could make extra money
Another way you might help yourself is to open ads and look for a way to create another source of income for yourself. You may do something part-time. If you’re still in a permanent employment relationship, let it be something that you’ll be able to reconcile with those obligations – like working in a cafe, as a receptionist, or anything similar.
Thanks to the development of the Internet, many jobs can be found online. You can work from home as a writer or in a call center or something related to site editing or programming if you have such skills. This won’t burden you too much, and all you need is goodwill and a workroom in which you would be alone.
6. Ask for a loan from the employer or do extra hours
You can always ask your boss to do a few extra hours. By investing this kind of effort, you’re going to earn extra income and solve the financial problem which is fundamental, but you’ll also cause satisfaction in the circles of your managers.
With cultivated and unobtrusive arguments, you can emphasize your previous commitment at work and try to ask for a raise. Try to maintain self-confidence but avoid giving the impression of despair as it might easily be abused. After all, you can ask for a loan from them, which you would, of course, repay in time. With their good will, you’ll succeed, and even if you fail, there will be numerous alternative methods to achieve your goal.
Try to stay positive in any case and keep in mind that it will all pass – choose the method that is best for you and get out of the financial crisis quickly and without consequences!