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Debt Sucks: Prepare for an Economic Recession Now

Experts are predicting a recession could happen sooner rather than later, so there are 3 things you can do now to prepare.

GREENSBORO, N.C. — Financial experts all agree a recession is coming, so are you ready for it?

There are 3 questions to ask yourself as you prepare: 

  1.  Do I have six months of expenses saved?
  2.  Do I have credit card debt? 
  3.  Am I am completely debt-free? 

If you are able to answer "YES" to all three, you have the best chance of taking advantage of the recession instead of the recession taking advantage of you. 

Why should you have six months of expenses saved before the recession comes? It is because during any recession jobs will be lost. If you work for someone else there is a chance that you could be laid off so you need to have your finances in order. 

Having credit card debt in your life is a definite threat during a recession. Credit card companies and banks can't have their "customers" not paying them. During a recession, there is an uptick in collection notices and phone calls from creditors. They can sue you, most likely win, and get their money from you. 

When it comes to being totally debt-free, the key is to get laser-focused on paying your current debt down. This does not mean your mortgage if you have one. This means all other debt. Student loan debt, furniture debt, medical debt, personal loans, car debt, etc. Any debt that can be paid down should be paid down. 

Those with money saved and the least amount of debt are going to be the ones in the best position to win.

To get more money tips and debt advice, click here to visit Ja'Net Adams' website. 

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