You’ve heard the horror stories: people being turned away from financial help because of bad credit. Families forced to file bankruptcy because of economic hardship. People losing their homes because they’re down on their luck.
Unfortunately, these tales are all too common. In fact, recent studies show that 43 million Americans have what is widely considered to be a low credit score. To give you an idea of how widespread a problem this is, that’s over a quarter of the US population!
If you’re one of the many people who are worried about their finances, you’ve probably asked yourself what you can do to improve your finances. Luckily, if you have bad credit and a lack of money, there are things you can do to help yourself.
Here, we’re going to give you some of the best financial tips to help you get back on your feet.
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Do Your Research
Since you’re reading this article, you’ve clearly already begun this step. Congratulations!
Look at various websites and learn how people have saved money or improved their credit scores. By doing this, you’ll learn what has worked for others and what hasn’t and you can emulate the best methods for penny-pinching!
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Get Financial Tips From Experts
Other people trying to save money aren’t the only source for learning how to save yourself. Talking to experts is also a great idea if you want the best professional advice on how to get yourself out of debt.
Contacting a pro never hurts and could really help. Consider it!
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The Key is Cash
Paying with cash is a great way to improve your credit score. With cash, you’ll know exactly how much you have, so you’ll be aware that you’re spending real money instead of just swiping a card.
Using cash also prevents your credit score from becoming worse. It prevents you from overdrawing or from making too many unnecessary purchases. Don’t spend more than you have!
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Save and Skimp
It’s tough to stop spending money on things you want, but saving and skimping out on these things is probably the single most important thing you can do if you want to pull yourself out of a financial pit.
People spend a lot of money on things that they don’t really need. Using public transit may be a pain, but it can save you a lot on gas… and even more, if you can sell the vehicle you aren’t using. Biking is also a good alternative if you can’t stand the time spent on a bus.
You can also save on electricity by unplugging electronics when you aren’t at home and limiting your screen time. Even though it’s hard, you can cancel your Netflix or Hulu subscription to save money. Try streaming videos you YouTube instead!
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Cut Back on Food
One of the single biggest unnecessary expenses that Americans make is eating out. We see the appeal: you can swing through a drive-thru and not waste time before taking the kids to soccer practice. You don’t have to cook and can have more time for other things.
Whatever your reason, eating out is appealing. But it’s also extremely expensive.
Learning to cook some simple meals at home can save you a lot of money. Plus, it’s a lot of fun when you learn to enjoy cooking! It can bring couples or families together when they cook together, too, which is a plus.
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Give Yourself Rewards
A good way to save money is to set rewards to yourself for doing so. No, we don’t mean taking yourself to a fancy dinner. We mean smaller things that you can look forward to that will reward yourself for not going to that fancy dinner.
Sometimes these rewards might cost money, and that’s alright if you have it! Try to keep it under ten dollars, though. A fast food meal or a sweet treat might be just the thing.
There are awesome rewards you can give yourself for free, too. A trip to a nearby park or beach to lay in the sun is great. If you don’t want to leave the house, reading in a bubble bath is an awesome reward. You can also look up fun games like this one to play online and have a ton of fun!
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Do Something You Enjoy
If you want a little extra cash to save, you’ll probably think about getting a side job at some point or another. This makes total sense since you’ll be able to save all the money you get from it and have more than you initially would.
Think about the side job you want to get, though, before you start applying. Chances are, your current nine to five job isn’t something you’re that passionate about or something you want to do all the time.
Try to find a side job that you’ll enjoy. Not only will you be making the most of your life even when you’re making extra cash, but you’ll also be more productive when you enjoy your job.
So if you like sewing, check out openings at your local craft store. If reading is your thing, then apply at your local library. What about sports? Try coaching little league!
The possibilities are endless.
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Get Loans for What You Love
It’s also important to do the things you love outside of work. After all, no one can be happy just doing one thing all the time, and one of the most important parts of life is doing the things you love with the people you love.
If you’re broke, you might have trouble feeling like you have the time or funds to engage with your hobbies. The good news is that there are tons of fun stress-relievers that cost next to nothing, like reading a good library book or learning to knit.
But if your livelihood stems from something that you know is going to cost money, don’t fret. There are loans you can take out now to engage with these activities. If you like boating, for example, check out the best boat loan lenders to get some help.
Even though you’ll have to pay loans back later, you will hopefully be back on your feet by then if you follow these tips.
Get Cracking!
Being down on your luck financially is a terrible burden and a huge challenge to overcome. Fortunately, there are a few factors that you have control over. Knowing how and when to save, avoiding using too much credit, and looking for alternatives are all great ways to keep afloat.
Now that you know some of the most effective financial tips for getting by in today’s economy, check out this article to learn some cool facts about credit cards! After all, knowing about something is the first step to avoiding a problem with it.
We believe in you!
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