Make a Move Before You Hit Rock Bottom

Mortgage RefinanceFacing a financial rock bottom situation does not only put a strain on your pocket; it does so as well on your mental and emotional stability. In many cases, such a situation may also bring about physical manifestations, affecting one’s overall health and well-being.

You have to avoid such an issue. It happens even to the best of them, but there’s no reason you can’t act immediately to steer clear of the problem.

Here are some suggestions:

Stop Contributing to the Problem Immediately

The moment you begin to fear that things are not going right for you, stop and take a moment to reassess your decisions. Don’t shrug your shoulders and say, “Come what may”. Stop spending money on things you don’t need. Develop a more frugal attitude, while also thinking of ways to increase your income.

Take Action Before It’s Too Late

Now is the time to figure out what you can change about your life to avoid hitting rock bottom. Look for ways to reduce your monthly expenses. Refinance your mortgage. If you are affected by the housing market correction and cannot refinance, don’t lose hope. You may qualify for the HARP loan program, says a financing expert from Primary Residential Mortgage, Inc. The Federal Housing Finance Agency created this program to help homeowners refinance while they are current with their mortgage.

You may also want to consider refinancing your car loan or consolidating your student loans. Stick to one credit card only and use it for groceries and other important purchases. Try a credit card balance transfer if it presents some incentives for you.

Develop a Routine

One thing you’ll notice about the difficulties of hitting rock bottom is that when it rains, it certainly pours. Negative things may start happening to you, even if you’re not actually doing anything. This may lead to depression and more negativity. Instead of staying put, accept what’s happening, keep going, and develop a positive routine.

For example, start your day the same time every day, make some coffee, enjoy your breakfast, come to work on time, determined to finish as much as you can, then go straight home. Do your best to stick to your routine and you are more likely to avoid doing anything that may jeopardize your financial situation.

Hitting rock bottom isn’t exactly a happy trip; it’s a huge test that many people have successfully overcome. Don’t wait to find out if you can; do something about your situation now, while you still can. Use these tips to get started.