Atlanta Consumers Ready Finances for Potential Double-Dip Recession
Just when we think the economic downturn might be safely behind us, economists start talking about a double-dip recession. Talk about bad timing.
Thanks to unemployment, the dire debt situation in Europe and an unstable housing market, it seems that the current economic recovery might not stick. For folks who have been barely scraping by for the last couple years, the news is understandably discouraging. But the truth is, the economy has always been unpredictable - this is nothing new.
Instead of focusing on whether things get better tomorrow, in six months, or in two years, why not focus on what we can do to make them better? You don't have to wait for the economic green light to improve your credit, lower debt or start a savings plan, say Atlanta bankruptcy attorneys. But if you do those things, you'll be better able to handle another downturn - and you'll be better poised to take advantage of the economic upturn, whenever it comes.
The best thing you can do for your finances is secure them. And that means building up emergency savings. If you suddenly lose your income, you don't want to sink deeper into debt, ruin your credit or lose your house while you look for a solution, right? Having several months' worth of living expenses in a readily accessible savings account will give you some breathing room, so you can focus on finding a paycheck, not on all the bills you can't afford.
Got some savings stashed away? Your next step is to start paying down debt. I know, when you're already struggling to get by you probably don't feel like increasing your monthly payments. But it's the fastest way to ensure you'll pay less in the future. If you begin paying more than the minimum, you'll finally start covering your principal - not just interest. And that means you'll keep more of your paycheck year after year.
I'll admit that it's not easy to come up with fresh ways to save when money is already tight. You might have to take a hard look at your budget. Can you live without cable or a land line, at least for a few months? Can you give up that gym membership? Maybe carpool or downsize to one car instead of two?
Of course, if you find you just can't pinch another penny, getting rid of debt completely through bankruptcy can be the fastest way to get back control of your finances. Find out how bankruptcy can lower debt and help you make it though tough economic times in one piece when you try a free personal debt analysis with an Atlanta bankruptcy attorney.