Dealing With Debt: Tips to Ease the Impact of the Coronavirus

While dealing with debt can be stressful, many options can help you get back on track. First, you can ask your lender about a hardship program. It is essential to contact your lender as early as possible to determine your options. Many lenders will provide hardship programs.

Lower-income adults are most likely to say they’ve lost a job

Researchers are studying the effects of the coronavirus pandemic to assess how it’s affected people’s lives. The findings show that lower-income adults were the most affected by the virus, as were Latino and Black workers. The survey results also indicate that the virus has significantly impacted social isolation and disconnection.

Lower-income households are particularly affected by the pandemic, and their economic status is likely to suffer the most. While unemployment benefits can help, these benefits often don’t cover the total living costs. As a result, many low-income adults could not cover expenses for seven days, making it difficult to find a new job.

As a result, they were most likely to move out of New York City. About one-third of them said they considered moving permanently. However, this trend was not true for all low-income households. While low-income adults were likelier to say they lost a job because of the disease, their share was lower for middle and upper-income families.

The worst-affected workers are the young. Workers under the age of twenty-four are at a significantly increased risk of COVID-19 exposure. This means they have to choose between their health and their paycheck. As a result, they risk losing their job or remaining unemployed for months or years.

Saving money

The impact of the coronavirus on debt and personal finances is still being felt. Still, statistics show that Americans are feeling better about their financial situation now than they did during the early days of the pandemic. But despite the improvement in the labor market, nearly half of non-retired adults still say that the recession will make reaching their long-term financial goals more challenging. Furthermore, one in ten people doesn’t believe their finances will fully recover.

One study found that lower and middle-income adults reported less money saved than before the pandemic began. Similarly, more melancholy and middle-income adults said they spent less money than they usually did. In contrast, middle-class and upper-income adults said that they had kept the same amount of money saved. This data also revealed that some people are holding more, which is good news for those struggling with debt.

If you’re struggling to meet your payments after the pandemic, you may want to contact your creditors immediately. Explain your situation and ask about financial relief options. There are companies that offer debt consolidation and settlement, like Priority Plus Financial.  Also, don’t be afraid to get a debt settlement attorney, as they can help you find the best choice for your situation.

Avoiding scams

Beware of fake websites and phone calls claiming to be a part of a relief fund or offering assistance to COVID-19 victims. These companies often use fake logos and false information to get your personal information and money. Don’t ever give out your credit card information or other personal information to a scammer.

Be wary of people who pretend to be friends or family members. Many scammers pose as kids or relatives in trouble, asking you to give them money or gift cards. They will also ask you to keep their story confidential and to act quickly. If you receive such a call, verify the account with your family and friends and take the appropriate steps to ensure that the person you are dealing with is genuine.

As the COVID-19 pandemic spreads, several scams are arising. Some scams pose as medical authorities, charities, debt counselors, and attorneys. Others pretend to be student loan servicers or mortgage servicers. If you suspect you have fallen victim to a coronavirus scam, you should immediately contact your state’s consumer protection agency or file a complaint with the Federal Trade Commission.

The most common coronavirus scam is phishing emails. These emails are designed to trick you into giving away sensitive personal information. These emails may even contain malware.