Shutdown

What do you do when an anticipated paycheck doesn’t come?

How do you determine which bills to pay first?

Image courtesy of artur84  / FreeDigitalPhotos.net

Image courtesy of artur84
/ FreeDigitalPhotos.net

Here are 5 steps to take when life shuts down…

1.  Take inventory of income and resources. 

  • Can you ask for alternate payment arrangements?
  • Are family and/or friends available to help?

2.  Review all expenses.

  • Separate priority (needs) from discretionary (wants) expenses

3. Inventory your debt.

  • List amounts owed beginning with smallest balance using our MyMoneyCheckUp tool at mymoney.LssSD.org

4.  Prioritize bills. 

  • Mortgage or rent payment
  • Utilities
  • Food (basic grocery needs for eating at home)
  • Insurance
  • Vehicle payments

5.  Communicate with creditors – in writing.

  • MortgageMake an appointment with us to discuss options.
  • Auto loans – Ask for refinance or modification, perhaps adding payments to back of loan.
  • Credit cards – Ask for forbearance or hardship plan – make sure you can honor your promise of new payment, or creditors will revert to collection methods.
  • Medical debt – Ask about forbearance or hardship options.
  • Student loans – Ask about forbearance or deferment. More information here: http://studentaid.ed.gov/repay-loans/deferment-forbearance.

Remember to request new payment plans in writing!

If you’re stuck on a step, or just want have questions along the way, we’re here. We’re also happy to review your finances and give you ideas.

It’s all about reaching your goals. 888-258-2227 or cccs@LssSD.org

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