Making a Comeback from a Financial Setback

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Making a Comeback from a Financial Setback

Financial setbacks happen. Even the most cautious of consumers have been caught off guard by an unexpected bill, the loss of a job, or other emergencies that impact their careful financial planning. If you've been faced with a financial setback, here are a few tips to help get yourself back on track.

Find the Right Resources

No matter how overwhelmed you may feel, there are resources available that can help you in your efforts to recover. One of the best resources to consider is a money mentor. A mentor can help educate you on the reality of your financial situation and the steps you can take to pay off your debt and make your economic comeback. 

You do not necessarily need to spend money to find a qualified financial mentor. There are many excellent blogs and financial educators online who can help you find the resources you need to start your journey back to where you started and even into a better financial situation overall. That will give you a roadmap to follow that will cost you nothing to get started. You only need to establish a plan to help get you back on track.

Establish a Plan

That is one of the most important things you can do to begin the journey toward the financial future you had envisioned or may have had in the past. A few key things to remember when creating a plan include the following:

  • Be specific. Have specific goals in a specific order. For instance, rather than saying you want to pay off all your credit cards, have a specific plan for which credit card you will pay off first (second, third, so forth); and how much you will pay toward that goal each month.
  • Be realistic. While you may want to spend every available dollar you earn toward eliminating debt, be sure to create a budget that includes entertainment and living expenses in addition to bills you pay each month.
  • Set deadlines. Deadlines create a sense of urgency that encourages results.

Once you have your plan in place, it is time to create personal financial goals that go beyond merely recovering.

Continue to Set New Goals

Once you have accomplished part of your plan, you can turn your attention to bigger goals and changes. The idea is always to create new financial goals to improve your financial circumstances.

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