Ways To Prepare For A Recession
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If you haven’t heard yet, there is talk about a crazy recession. To be honest, I cannot even imagine going through one, but if we do, it’s important to know what to do now, so that we can be as prepared as possible for whatever comes our way.
Today, millions of Americans say that they believe that the United States is on the verge of a major economic collapse and will soon be entering another Great Depression. But only a small percentage of those same people are prepared for that to happen.
The sad truth is that the vast majority of Americans would last little more than a month on what they have stored up in their homes. Below, I want to list a couple of ways to prepare for a recession. I hope that these will help you, if you should ever need to use them (hopefully not). Keep reading below –
Get rid of debt
The fewer debts you have, the better your chances are of surviving a depression. Forbes explains, “Debt is a problem even when the economy is booming. But it’s an even bigger problem during recessions, when you may be facing the possibility of losing your job or experiencing a serious decline in the value of your investments.”
When you are in debt, think about how hard it is to balance everything each month. This is with an economy that is functioning properly. Now, throw in the risk of losing your job or getting a pay cut, the price of everything going way up (which we are already seeing), and trying to juggle that debt.
Cash Advance options
Sometimes during a recession, things can get tighter than expected, even with preparing. It is a smart idea to have some options ready like borrowing from family, or getting a cash advance with borrowing options like MoneyMutual. MoneyMutual can help with many different types of advances including credit card advances, payday loans, business cash advance, and more.
Reduce your spending
Getting out of debt isn’t enough – you also need to reduce your spending. With potential economic upheaval on the horizon, this is not the time to live large. Instead, look for opportunities to reduce your spending.
Look for ways to lower your utility bills and insurance, get rid of unused subscriptions, and stop buying new just because you can (i.e., you don’t need the latest cell phone model). I know this is really hard to do, but IF there is a recession similar to the Great Depression, it’s important to make sure that you are taken care of financially, which includes trying your best not to spend as much.
In addition to getting rid of debt and spending less, you need to build up your savings. Sadly, many Americans do not have emergency savings accounts. If another depression does occur, emergency savings will go a long way toward protecting your family.
Downsize, if needed
A good potential option would also be to downsize. I know that this sounds a little major, but trust me – downsizing can save so much money and bring additional money into your savings, investments, and checking account. When downsizing, make sure you think long-term, though, because you do not want to downsize for a few months, only to realize that you need to move again. Even though you are downsizing, that does not mean that you need to make the move hard, however.
Make it easy by hiring help, such as Page Relocation (if you are in Georgia!). They are Atlanta office movers, but offer many other moving services like residential moving, packing services, cleaning, storage solutions, delivery services, junk removal, and more. One really neat thing about Page Relocation is that they have a GPS tracked fleet with dashcams! This means that everything is tracked during your move (hooray for peace of mind!).
Learn important skills
No matter what the state of the economy is, it’s important to learn skills that will benefit you now and in years to come. For example, if you know how to hunt, fish, and raise animals, you are set. Know how to garden? You can stock yourself up on plenty of vegetables and fruit!
Your skills are also perfect for bartering, depending on what you know and what you offer. Never think that it is not important to know plenty of random skills, because it’s very important!
Have a loan option ready
When you find yourself in the position of needing or wanting to get a loan, many people don’t even know where to start. The best thing you can do is research your options and have something ready before you even need it. A lender like Credit Loan can quickly get you a loan from $250-$40,000 for all types of needs: auto loans, student loans, debt consolidation, personal loans- even short term needs for those with bad credit.
Make neighbor friends
There are a lot of things that you can do in each day, but making friends with your neighbors is an important thing to do. Why? Ultimately, everyone in your community could offer something. One person could grow vegetables, another could grow fruit, and the last could have a family milk cow, or chickens for eggs. Other neighbors could know how to pump a well, or fix a leak.
At the end of the day, neighbors take care of other neighbors – depression, or not, but it sure would be useful if there was a recession!
Stay positive
No matter how bad anything gets, there is ALWAYS some good to be found. Try to stay positive and surround yourself and others with positivity. You can get through anything!
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