Daily Bulletin


Money

  • Written by News Company


Financial emergencies are one of those inevitabilities in life that everyone dreads. This emergency can come in various different forms, from a car breaking down to a business that is struggling to pay their rent.

When a financial emergency crops up, it can cause a lot of people to end up with negative bank balances. According to recent statistics, almost two-thirds of working Australians find themselves in non-mortgage debt. If the same people are hit with a financial emergency, it could take years for them to get out of the hole they’re placed in.

To avoid spending more time than necessary paying off the bill, here are five tips for dealing with a financial emergency.

1. Reach out as soon as possible

When a financial emergency is dropped on you, it can be hard to think straight. However, you must react as soon as you can. Speak to your creditors and see if they’ll provide a helping hand – you might be amazed at how helpful they can be during troublesome times.

You can also find help from other sources. Friends or family might be able to lend you money, for instance.

2. Tap into any emergency funds you possess

Obviously, this option is only available for a certain number of people. Yet if you’re currently dealing with a financial emergency, now’s the time to use your emergency savings – obviously.

Your emergency fund may not be able to cover your entire bill. However, every little helps and taking away a small chunk of your expenses can assist with getting the ball rolling to financial freedom.

3. Utilise a loan

If you don’t have any savings to use – and chances are that’s the case if you are on this article – you will need to secure some form of funding. In that case, one of the most effective funding sources is a loan.

Thankfully, acquiring a loan isn’t as difficult as you may envisage. If you have a poor credit score, Diverse Funding Solutions demonstrates there’s typically a lender out there to offer assistance.

4. Prioritise spending

When attempting to cover the expense of a financial emergency, it’s essentially mandatory to revise your budget. When doing this, you’ll typically find several items that can be entirely cut from your expenditure list.

For example, are you enjoying takeaways or going to restaurants each week? Are you paying for the most expensive cable TV subscription package? Perhaps you have a gym membership that you never use? Try and cut out expenses like these and stick with the essentials.

5. Prepare for the next financial emergency

The big issue with financial emergencies is that it’s never a one and done job. You could finally finish paying off one, and then another might appear around the corner, and you’re back in the same position.

Therefore, you must prepare for the next emergency. Start by building up a nest egg that can be used for a rainy day. Even if you only put away, say, 20 or 30 dollars a week, this can soon build up into a significant sum.

Writers Wanted

Physical Therapist Talks About This New Massage Gun On The Block - The HYDRAGUN

arrow_forward

Too much information: the COVID work revolution has increased digital overload

arrow_forward

Ammonite: the remarkable real science of Mary Anning and her fossils

arrow_forward

The Conversation
INTERWEBS DIGITAL AGENCY

Politics

Prime Minister's Remarks to Joint Party Room

PRIME MINISTER: Well, it is great to be back in the party room, the joint party room. It’s great to have everybody back here. It’s great to officially welcome Garth who joins us. Welcome, Garth...

Scott Morrison - avatar Scott Morrison

Prime Minister Interview with Ben Fordham, 2GB

BEN FORDHAM: Scott Morrison, good morning to you.    PRIME MINISTER: Good morning, Ben. How are you?    FORDHAM: Good. How many days have you got to go?   PRIME MINISTER: I've got another we...

Scott Morrison - avatar Scott Morrison

Prime Minister Interview with Kieran Gilbert, Sky News

KIERAN GILBERT: Kieran Gilbert here with you and the Prime Minister joins me. Prime Minister, thanks so much for your time.  PRIME MINISTER: G'day Kieran.  GILBERT: An assumption a vaccine is ...

Daily Bulletin - avatar Daily Bulletin

Business News

Getting Ready to Code? These Popular and Easy Programming Languages Can Get You Started

According to HOLP (History Encyclopedia of Programing Languages), there are more than 8,000 programming languages, some dating as far back as the 18th century. Although there might be as many pr...

News Co - avatar News Co

Avoid These Mistakes When Changing up Your Executive Career

Switching up industries is a valid move at any stage in your career, even if you’re an executive. Doing so at this stage can be a lot more intimidating, however, and it can be quite difficult know...

News Co - avatar News Co

4 Costly Mistake To Avoid When Subdividing Your Property

As a property developer or landowner, the first step in developing your land is subdividing it. You subdivide the property into several lots that you either rent, sell or award to shareholders. ...

News Co - avatar News Co



News Co Media Group

Content & Technology Connecting Global Audiences

More Information - Less Opinion