Avoid Financial Disaster With Good Planning

Avoid Financial Disaster with Good Planning
It's tough to​ get by financially in​ today's fast-paced life .​
With mortgages, car notes and massive amounts of​ credit card debt, most people struggle to​ get by from month to​ month .​
With most people doing what they can just to​ pay their bills, few people are prepared for the unlikely event of​ a​ financial disaster .​
They come in​ many forms; a​ storm like Hurricane Katrina, a​ loss of​ job, or​ a​ sudden illness can break anyone who isn't prepared for an​ unexpected interruption in​ their financial life .​
But it​ isn't all that difficult to​ make preparations that will help you in​ times of​ a​ money crisis .​
All it​ takes is​ a​ bit of​ planning ahead of​ time.
Here are a​ few things that will help you be prepared for the unexpected:
Get an​ ATM/Debit card - You may not regularly use cash or​ have a​ need for a​ debit card, but there are some circumstances where it​ may be necessary .​
People from New Orleans who were temporarily displaced by Hurricane Katrina would have benefited from having access to​ cash even while away from home .​
If you don't use one regularly, get one anyway and keep it​ in​ a​ safe place .​
Sign up for direct deposit - With direct deposit, you will know that your paycheck will be in​ your bank account even if​ you cannot, for whatever reason, physically get to​ your bank .​
This will help you in​ the event of​ illness or​ natural disaster that may have your local bank temporarily closed .​
Sign up for online bill paying - You can pay bills even if​ you aren't at​ home via the Internet .​
You don't have to​ use the service, but it​ may come in​ handy at​ a​ time when you least expect it .​
Save some emergency cash - Financial experts recommend that you save at​ least three months' worth of​ financial expenses .​
That's difficult, but every little bit can help .​
Try to​ cut back on a​ few unnecessary items, such as​ that tall latte you buy every day .​
It adds up, and you never know when you may need to​ access that emergency cash .​
Set up a​ home equity line of​ credit - Unlike a​ home equity loan, which provides you with a​ lump sum of​ cash right away, a​ home equity line of​ credit provides you with cash that you can use a​ little at​ a​ time, and only when you need it .​
If you don't actually take any money out, you don't have monthly payments .​
But if​ an​ emergency strikes, you'll have cash available .​
This can be particularly helpful if​ you find yourself out of​ work for a​ short period of​ time .​
Your bank won't lend you money when you are out of​ work, so plan ahead of​ time and the money will be ready when you are .​
A little bit of​ planning can go a​ long way when a​ financial emergency strikes .​
If you plan for it​ now, you will have fewer worries later.

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