COVID-19 was an unexpected occurrence that not only has affected individuals but many businesses. In addition to your physical health, the health of your finances is also important. We share five ways to help keep your finances healthy.
1. Build an Emergency Fund
You never know what will happen and COVID-19 is the proof of that. As you are able, start stashing money away for future emergencies. Having 3-6 months’ worth of expenses in savings will give you a cushion when the unexpected happens.
2. Manage Your Debts
Debt can be troublesome, especially if you aren’t earning as much as you used to. If you are struggling to pay off your credit cards, consider looking for a new credit card that has a low introductory rate. If you have a home or auto loan, interest rates might be lower than when you originally got the loan, so refinancing might be a good option too.
3. Create a New Budget
After sitting at home, it has most likely changed your perspective on what you deem important. If you have been able to maintain your job, you might even be spending less money right now. Review your existing budget or create a new one and see if there is any extra money you can save.
4. Check Your Accounts
Keep a close eye on your account and check the charges at least a couple of times per week. This will help you have a better understanding of how you are spending your money. And should there be any suspicious activity, you can catch it quickly.
5. Save Money
Even though it may be challenging staying home all the time, you are likely spending less money on eating out and traveling. By spending less, it gives you more money to pay off debts, put in your savings, and allocate towards the items you view as essential.
If there is anything we can do to help, feel free to speak with one of our Member Advisors, visit us online at caminofcu.org, or give us a call at 800-835-3400.