In yesterday’s article, Top Tips To Survive The Recession, we discussed one or two ways to help protect yourself. However, be careful not to take protectives measures that may backfire.
Here are a few more tips to help you survive the recession:
- Check insurance small print. Some insurance companies will not allow ‘at risk’ professions to renew or take out insurance now, which may include financial services staff at the moment. British Insurance and some others are still covering them, but it is worth checking. Check the pay out period, some are 60 or 90 days out of work before you can get your money, so if you can afford to survive the 90 days, then take the cheaper insurance with a 90 day wait, otherwise, you might be better paying a little extra for a shorter period. Check the level of cover too.
- Cut back on non-essentials. To help you build up a little cash buffer, as discussed in yesterday’s article, try cutting back. You could move to a cheaper gym, cut back on the Starbucks coffees, but if even this is more extravagant than you already spend, then start shopping at a cheaper supermarket, check out some of the own brand products, cap your energy bills, and buy a jumper so you don’t have to use the heating as much. Every little helps.
- Speak to your mortgage lender. If times are really tough, and you think you might struggle to pay the whole mortgage payment, then speak to your mortgage lender sooner rather than later. If you are made redundant or are having trouble, if you let your mortgage lender know before you go into even one months arrears, they may be able to put you on an interest only mortgage for a while. If your mortgage special deal is coming to an end, speak to a mortgage advisor as early as possible
- Look for ways to earn more money. Friends and family will understand if you are struggling and usually help out with childcare, and even though it’s tough, you might be able to earn some extra money. There are more and more genuine work-from-home opportunities available too, such as this one writing from home. Look to use your own talents and interests, and maybe you can earn some extra money from your hobbies.
- Loyalty cards. Make sure you use loyalty cards and claim the vouchers or money-off coupons available to you as it all adds up.