Personal Finance Tips for The New COVID Landscape
Coronavirus
The coronavirus pandemic has wreaked havoc on the economy and people’s livelihoods. The unemployment rate has risen to unprecedented levels.
Long lines have been forming at food banks across the country. Food shortage is becoming more common as morale plummets.
Understanding personal finance is important during these tough times.
Luckily, this article has three personal finance tips everyone should know.
Set a Budget
Sticking to a pre-defined budget is crucial to financial stability during the pandemic, especially for people with a fixed income or a complete income loss.
Creating a budget can be as simple as drawing a two-column table with categories on the left and dollars on the right.
Some major categories to include are food, housing, utilities, and toiletries.
For each category, decide on dollar amounts that are reasonable and realistic. Budgets only work if people monitor their spending habits. Be careful not to overspend.
Consider Personal Loans or Hardship Loans
Coronavirus hardship loans are loans created for people struggling financially during the pandemic.
These loans have features similar to standard personal loans. For example, they have interest rates and payment plans.
They differ from standard loans in their purpose. Hardship loans were designed to be short-term relief. Borrowers can take out loans for amounts as low as $1000.
Potential applicants can apply by simply talking to a loan officer at a local bank. Eligibility requirements may differ depending on the financial institution in mind.
Therefore, borrowers need to ask good questions when reaching out. There are many places you can find personal loans online but following through and making sure they are reputable is essential to financial success.
Wait for Items to go on Sale
Consumers do not have to pay the full retail price if they buy discounted merchandise and use coupons.
Consumers will know right away when prices drop if they sign up for email newsletters from their favorite stores.
Also, buy in bulk when it makes sense. Buying fresh groceries in bulk may not always work because food spoils over time.
However, bulk buying becomes a wise choice for items with long shelf lives. Take advantage of savings if items are marked down.
Saving time is another benefit since consumers do not have to buy the same item anytime soon.
Follow these three personal finance tips to get through the coronavirus pandemic.
By making wise choices when it comes to money, consumers can make the most of every dollar.
In addition to their physical health, consumers will take care of their financial and mental health.
Category: Personal Finance
