As an inevitable result of this terrific pandemic Covid 19, the financial crisis has now become a common issue, ruling over the whole world. The insufficiency of money turns up the fire of poverty, destroying the peace of mind and making one puzzled. In such a scenario, coping with the situation and getting back to the previous state is very difficult.
But one should not lose hope as it is the only thing that can keep you alive till the end. So, here we will discuss the ways to overcome a financial crisis.
Start pay using cash
With the advancement of technology, nowadays we are habituated with online payment mode. It is hard to remember the last time when one paid by using hard cash. Using online payment option is one of the primary reason which brings in a financial crisis.
Because, during the payment through online mode, the tendency of using credit card becomes high. Now by paying the whole amount through credit card ultimately enhances the debt part. Every month one has to repay a particular amount with the addition of an extra interest amount.
Therefore, stop using credit cards or other online payment options and pay by cash. It will lower down your expenses too.
Put a stop to borrowing habit
Personal loans in Ireland can borrow easily. But one should recognise that personal loans are as good as bad debt. For get vogue, many newly opened financial bodies are now granting even unsecured personal loans in Ireland very quickly to both their existing and new customers. By lending money, a financial body generates revenue for his company.
This type of loan is associated with a high rate of interest, which you have to repay every month with the principal amount. After borrowing money, if you cannot repay the amount, you will be a defaulter, and the credit score will go down. So, stop borrowing short-term loans as they are misleading.
Keep track of your expenses
Almost every one of us is lacking the habit of tracking regular household expenses. It is another reason which brings financial crisis. To save money, one needs to balance the expenses. The budget should be planned at the start of the month, and the expenses that are yet to initiate should be jotted down.
After practising this habit for one month, you will find out where you have spent more and curtail the expenses. With little improvement on the budget, one can save more.
Get ready with the available funds
It is difficult to foretell when and how the time of crisis arises. That’s why one should always keep prepare for the availability of funds. For this reason, instead of selecting a long-term investment, one should think about some short-term investment. One can continue the savings by keeping money in its cash accounts or investing in the money market and short-term investment.
This type of investment will work during the crisis because the funds can be easily accessible.
Make use of the coupons and get discounts.
To increase the usage of online payment now, most of the companies provide lots of coupons and attractive discounts. To avoid financial crises, one needs to make maximum use of them. By paying online, maybe you have earned lots of coupons. The time has arrived at using them.
If you fly frequently, then you must have earned discount cards which you can use for travel. Look for the discounts on grocery bills too. Gift cards are the best option to recharge the mobile and also paying the utility bills. So, search for if you have any gift cards or not. Moreover, by redeeming the credit points, one can easily make up for the inadequacy of money.
Repay the credit card outstanding
While repaying the credit card outstanding every month, a regular monthly expense is carried out. Besides, even after repaying the credit card bill punctually, one can found no changes in the outstanding amount because only one-third of the repayment part contributed to the principal amount.
So, to overcome a financial crisis, it is better to repay the outstanding at once, if possible. It will minimise at least one of your debts.
Earn money by selling
If you search, it will be not so difficult to find out many belongings that now are in no use. To earn some extra cash, let’s make use of them. In Ireland, there are many websites whereby registering yourself, and it will be easy to sell those new things.
By selling those things, you may earn small amounts, but this trivial amount can wipe out the financial problem to some extent. Apart from selling, one can try out another type of job too, like babysitting, freelancing, or teaching as a tutor.