Saturday, December 21, 2013, AM | 2 Comments
There are some people out there who are convinced that the economy is going to tank, the United States will fall into anarchy, and the world will end. While this chain of events is unlikely, it is very possible that the country will experience either another recession or depression in your lifetime. So, what should you do to prepare for the hard times?
Create an Emergency Fund
Whether inflation hits, you lose your job, or you have to pay for emergency surgery for you Saint Bernard, there will come a time when you need money that you haven’t planned for. Start out by just trying to have $100 in savings. Then aim for $1,000. Eventually, you can try to have a whole year’s worth of expenses saved!
Improve Your Credit Score
If you end up with an expense that’s bigger than your emergency fund, it’s good to have credit available. To improve your credit score and ensure that you’ll be able to get a line of credit when you need it, don’t max out your credit cards, keep a low debt-to-income ratio, and dispute any inaccurate information that’s on your credit report.
Buy Instead of Rent
Renting used to be cheaper than buying a home, but with all the mortgage options out there now, it might make more sense to own your own home. For instance, Legacy Lending Group helps potential homeowners get FHA and refinance loans. To find out more about them, click here.
Build a Stockpile of Food
Survivalists aren’t the only ones who store food. If you fall on hard times, being able to not worry about the food bill is a godsend. You can buy a year’s worth of wheat berries to grind your own grain, or you can just buy ready-made food that can either be frozen or left at room temperature for long periods of time.
Downsizing the way you live is the best thing you can do to prepare. You’ll have more money every month to save for emergencies or the loss of a job, plus you can make the switch on your own time instead of cutting back all at once when an emergency happens.
Everyone wishes that nothing bad would happen to them, but it’s better to prepare for the worst. Even if you never fall on hard times, your mind will be at ease knowing that you’re prepared.Facebook.com/doable.finance