Unemployed: Some Debt Strategies

Hi,
When we find ourselves unemployed, it is important not to neglect our financial responsibilities. We need to make a list of our outstanding monthly expenses starting with our basic survival needs. We need to make another list of all available funds that we have to meet expenses. Here are some suggestions:
1) We need to call the mortgage company if we are having doubts as to whether or not we can make the next mortgage payment to explain the situation in detail and see what options the mortgage company offers. Some of the options available are extending the payment until the end of the mortgage, making partial payments, or making interest only payments. Keep in mind that the mortgage company wants to work out the problem and does not want to have to foreclose on the house.
2) If we rent, we need to call the property management company as soon as possible to explain the situation and work out a livable solution. For instance, if we know unemployment is going to come in two weeks down the road, we can ask the rental company if we can make our payment then.
3) We need to call all the utility companies and work out suitable financial arrangements. Inquire about whether or not there are any programs in place for short term help.
4) We need to examine our monthly expenses in the food and entertainment areas and cut back as quickly as possible.
5) We need to call our remaining creditors and request deferrals on our monthly payments. If we are able, we should send them a good faith payment. We need to assure them that we will contact them periodically to let them know the status of our employment and our ability to resume making full payments.
As always, one of the most important things we need to do regarding our debt is communicate with our creditors. It is in our best interest and their best interest to work out all situations.
Next week I will start talking about credit/collections and small business.
Until then,
Alan

Experiencing Short Term Financial Problems After The Death Of A Spouse

Hi,
If there aren't enough funds on hand to take care of immediate needs after the death of a spouse, these are some steps one can take:
1) Notify the mortgage lender to ask for the month's mortgage payment to be deferred. Contact a property management company to ask that the month's rent be adjusted.
2) If there are insufficient funds to make full utility payments, contact the companies to ask for suitable payment arrangements.
3) If your transportation needs involve a car loan, and you need all, or a portion of the car payment extended, call the financial institution holding the loan. They are usually happy to cooperate under these circumstances.

If the deceased had any connections to the military or employee based membership societies (Police and Fire for example) contact related organizations (Veteran's groups etc.,) to see what help they have available for spouses of newly deceased former members.

It's important to have our trusted friend authenticate any unusual or questionable bills by calling the creditors to ask for the specifics involved in the goods or services provided to generate that particular bill. Unfortunately, predators abound in times of tragedy, and submitting false bills for payment is a scam used when they think they can take advantage of a person's inability to focus.

Tomorrow I'm going to talk about intermediate financial actions which need to be taken after the death of a spouse.
Until then,
Alan