How To Recover Financially If You Were Hit Hard By The Pandemic

Real talk: not all of us weathered the pandemic as well as everyone else did. It is easy to look at the façades of cars, homes, and clothes and think that those same standards are reflected in bank accounts, and when cash reserves run out – and lines of credit run over the limit, the real world comes knocking and boy does it come quick.

Families all over the United States have lost millions of dollars worth of their net worth through job losses, furloughs, lost property or assets, and bank foreclosures. In what was initially tipped to be a situation that wouldn’t last much past a couple of months, two years later and we’re still dealing with the fallout.

But, in the spirit of the new year and putting the past behind us, we’re going to look at a few ways that you begin recovering if you were less than lucky.

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FIRST – ADMIT DEFEAT…(WHICH ISN’T REALLY DEFEAT AT ALL)

We all like to believe that we’re invincible and can survive and withstand anything – that’s simply not the truth and at some point in most of our lives, we’re going to have admitted that despite our best efforts, it’s time to start again. Within that action, by the way, we’re actually reclaiming our power. It may sound like ‘armchair psychology but knowing when to know is the start of getting to where you need to be.

So, when the battle is done, it’s done and when you can no longer afford to get through everything you need to, it’s time. Remember that while the battle may be lost, the war is still up for the taking.

NOW, GET REAL ABOUT THE NUMBERS

Numbers matter, especially when they have a ‘minus’ in front of them. So before you can treat the sickness, you have to know the illness – get busy figuring out exactly what your financial situation is. Once you have that under control, you can start figuring out who to speak to first in terms of figuring out payments, freezing accounts or if you need to go the bankruptcy route. We know that the big ‘B-word is a poison pen letter, but under this climate, this form of legal protection is proving to be a lifeline for many Americans. Yes, you’re going to be starting from zero, and it’s going to be a long time before you can get credit again, but is that really such a bad idea? You may need to take on extra work and make some money on the side, but it’s all going to be worth it.

LIFESTYLE MANAGEMENT

For many of us who have to undergo this route, it is going to mean moving home or at the very least, changing a lot about how we live our lives and spend our money. Remember that things are just things and the attachment feelings we have only last as long as we have them. If you have to move home – then move. If you have to give up your car, then do it. Don’t drag these things along, the sooner you can get moving again, the better. Downsizing or looking at mobile homes for sale could be the solution you need.

It isn’t nice and it ain’t pretty, but starting over could just be the best thing that’s ever happened to you.