A little different ‘survival mode’ this time. Talking about financial survival. Everybody struggles with the budget, at least all the people I know, anyway. Being financially solvent is the best way to survive an economic crash or downturn. Those precious few people who are totally debt free, house paid for too, are so envied by those of us without the discipline it takes to get there. There are two people in our company of 250 or so, who have stated they’re debt free….no car payments, no credit card balance that wasn’t paid off this month…one has just a mortgage, the other not even that. They are calm and happy people. Can you imagine the feeling of personal freedom of being in that situation? It was no overnight magic wand these folks had, but lots of discipline and planning.
An article from http://blog.credit.com/2013/01/7-ways-to-avoid-a-debt-relapse/ helps if you want to break free yourself.
Part of the survivor plan or ‘mentality’ is to be situated so that ‘any’ event will shake us the least, as best we can plan for. Part of that would be to remain in one’s house, avoiding foreclosure for lack of income to pay the typical in debt up to the eyeballs American’s bills. Imagine 0bama’s economic czars incompetence from his crew finally causes a severe backlash of lack of confidence in the world market. The hyperinflation genie is finally out of the bottle, and it seems we are headed for a Zimbabwe style economic crash. The price of 3 eggs is now one hundred BILLION Zimbucks. Ouch!
Or the problem is his own planned catastrophe, sequestration, has about 10% of the baloney they’re constantly playing on the news to actually happen, and you lose your government job. Even though you ‘might’ be able to stretch the unemployment benefits to the max of 99 weeks, you’re still WAY below your former income. So, got $15,000 in credit card bills and 2 car payments of $2oo per month, mortgage, utilities, food, etc. See how much easier it would be to NOT have all that over your head? If you had your situation down to just the mortgage, recently refinanced to a new lower interest rate, see how much less stress in that ‘crisis’ you would have? No car payments, very low or non existent card payments, a nice food stash at home. The unemployment checks would go way further in that kind of situation and the stress level far more managable.
I’m personally working at it, along with the usual ‘prepping stuff’ that one thinks of for ‘prepping’. We’ve refied the house, both vehicles paid off for a couple years now, working on the credit cards. Like most people with credit cards, I’m ‘relearning’ that lack of self control, that urge for instant gratification that cards give us in return for 18% interest on that balance. I’m ‘lusting’ for a new and rare toy for my armament collection. One of very few companies that make a pistol in .357 magnum caliber, Coonan, is back in production. Being a small manufacturer, but putting out a fantastic quality machined product, the likelihood of finding one of these in your local gun store is slim to none. There’s a local range here, the sole dealer for Coonan in the state, as far as I can determine, has SIX of these jewels in stock. http://www.coonaninc.com/index.php Instead of throwing this pricy item on my charge card, I’m doing the ‘old fashioned’ thing of putting it on layaway, and paying out cash on a weekly basis. I would save the money, in my new plan of finances, in the bank and earn that ridiculous savings account interest on the money, BUT since these are so rare and hard to find, I’m doing the layaway so that it guarantees I have mine.
New twist on an old saying “Pay it off, or do without”.