If you struggle with your finances, especially if you have fallen into debt, you are not alone. 
Millions of people find themselves in the exact same situation for a variety of reasons, whether they have overspent on their credit card, owe for student loans or have experienced an unforeseen emergency. This is a situation that is overwhelming to anyone, but regardless of the circumstances surrounding your money troubles, there are steps you can take to rebuild your finances.
Don’t Panic
Above all else, if you are struggling after a financial setback, it’s important not to panic. Life happens, and with life comes emergencies. Take a deep breath and know that there are options available for you if you need help rebuilding your finances. There are also many things you can do on your own to start your journey on the road back toward good financial standing.
Get Your Finances Organized
Getting organized is the key to anything being successful. When it comes to your finances, it means you should be more diligent in all aspects: take a good look at your credit card bills and see what you owe as a first step. If you are disorganized, it’s possible that you have missed a payment or two, paid your bills late or even misplaced a bill. This can have a considerable adverse effect on your finances and lead to higher interest rates and being charged excess fees.
Always keep your bills in one convenient location where you can easily access them whenever you need them. You may also want to download financial software on your computer and finance apps to your smartphone. It can help you to better see where your money is going.
Be Super Diligent About Budgeting
The only way you are going to be able to fix your financial situation is to create or recreate a budget and be diligent about sticking to it. Be realistic about what you can truly afford to spend. You may even want to create budgets for both weekly and monthly spending if you believe it might help. One of the best ways to make a budget is to use the 50/30/20 method, which divides your income into three categories: needs, wants and savings. Things like rent, food, utilities, transportation and other essentials fall under the “needs” category. “Wants” include anything related to entertainment or shopping for non-essentials. Finally, “savings” is self-explanatory and is the portion of money you stash in savings or that you invest. As an alternative, you can use the 80/20 method where the 20 percent makes up savings.
Review Your Stock Portfolio
If you have money in stocks, you may want to meet with your financial adviser and examine your portfolio. If you aren’t doing too well, you might want to consider moving your money elsewhere or be more flexible or conservative depending on how your stocks are doing.
Do Your Homework and Seek Help
When you meet your financial adviser to address your stock portfolio, you should also ask them for any general or specific financial advice. This professional is there to help you every step of the way to ensure that your finances are in good shape. You may also want to seek the assistance of a credit counselor if you have been struggling with credit card debt or previously filed bankruptcy. During this time, it is essential to get all the financial advice you can possibly get as it can help you to make better, educated decisions about your money.
If you haven’t quite built up your savings and an unexpected emergency situation comes up, you might want to consider opening a line of credit to help keep a handle on this unexpected financial situation. Talk to your financial advisor and consider the best decisions for you in good times, and in less fortunate times.
Know Your Options
As previously stated, it’s important to know that you have options. In addition to consulting with a financial adviser and getting credit counseling, you can take additional steps to fix your situation. For example, if your credit is less than satisfactory, you can work toward rebuilding it by applying for a secured credit card.
Overall, it’s important to remember that there is always hope when you’re dealing with debt and other difficult financial situations. These steps can help you to get everything in order.
As previously stated, it’s important to know that you have options. In addition to consulting with a financial adviser and getting credit counseling, you can take additional steps to fix your situation. For example, if your credit is less than satisfactory, you can work toward rebuilding it by applying for a secured credit card.
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