The 2010 economic recession was something that millions of people around the world have felt. In fact, until now, a lot of us are still reeling from its effects. Though many people saw it coming, they didn’t really know how to react. After what has happened, a lot of us probably have learned our lesson. Though we have survived the impact of the crisis, it does not mean we can’t face another one in the future. In fact, with a Trump presidency, the possibility of another crash is just around the corner. Considering the trillions of dollars that he has proposed to implement his infrastructure plans, building a wall and deportation policies, it is just a matter of time before we can experience another crash.
This time around, you have to prepare. You already know what the consequences are. You understand that during this time, you can lose your job or you can’t afford even basic services. Here are some of the things you can do to avoid suffering from the impact of the crash the next time around.
Save for emergency funds
As early as now, you must set up an emergency fund. Make sure that you don’t touch it no matter what happens. You have to save it for the rainy days. Even if you lose your job during the crash, you can still survive considering that you have enough money to sustain your needs for the next few months. It should be enough up until you can get back on your feet.
Always have cash on hand
There are instances in which withdrawing money from banks or using your credit card could be difficult especially during economic crisis. In fact, there are small banks that have filed for bankruptcy during the crash. The money that you have saved might not be available for withdrawal for a long time. This is why you need to have cash on hand just in case you can’t get the said amount immediately. It should be enough to keep you afloat.
Pay all your debts now
You might feel like your creditors are being rude especially when collecting money from you. Imagine them doing this during an economic crash. When everyone is desperate, they will do whatever it takes to get money. You don’t want to suffer from that. Therefore, you need to pay all your debts now while your creditor is still in a good mood.
Take extra jobs
You also have to take extra jobs so that you can save up for your emergency funds. Also, this helps just in case you lose your main job. You know that you at least have a source of income while you are still looking for another job. You can work from home through online jobs or you can take small jobs in your local community. As long as it gives you money to prepare for the crash, it should be enough.
No one can predict when the next economic crash will happen. One thing is for sure though. It would be difficult to survive. Therefore, you have to prepare now so you won’t feel the impact that much once it arrives.
Featured and 1st image courstesy of yodiyim / freedigitalphotos.net
2nd image courtesy of bplanet / freedigitalphotos.net