If you are facing financial hardship or have been a victim of identity theft, you’ve got some work ahead of you, but it is possible to make a comeback. Getting your finances on track will take time, but by implementing a few strategies, you can protect, and grow your assets for the future.
Here are a few of the common ways you could be putting your money at risk and our top tips to get your bank account back in balance:
Overcoming Credit Card Debt
Credit cards can come with high fees and interest charges, and it can be tempting to overspend. The debt can quickly add up, especially if you have multiple cards. You can get over credit card debt by budgeting and limiting impulse spending.
Consider transferring your balance to a plan with lower interest, or ask your bank for a better deal and a more manageable limit. Focus on one card at a time, and try to pay more than the monthly minimum.
Recovering from Identity Theft
Identity theft is becoming increasingly common, as criminals have become smarter and more tech-savvy. It is important to monitor your bank accounts to ensure you are aware of any unusual activity. The sooner you notify your bank and the police that your identity has been stolen, the easier it will be to recover. You may even be able to freeze your credit depending on where you are located.
To reduce your risk, use strong passwords, and change them regularly. Be careful about who you give your private information to, and never click suspicious links found in emails, social media, or texts. It isn’t just online that you need to be careful, as thieves often target letterboxes looking for bills with your details on them.
Retracing Your Steps
It isn’t always thieves that you have to worry about; sometimes accidents happen and you lose your wallet. If you find yourself questioning what to do if you lose your wallet, first you need to notify your banks or credit card companies. They can then cancel your accounts and send you new cards.
If you have been out and about, retrace your steps to see if you can find it. You may get lucky and discover an honest person has handed it in at the local police station or information desk. Otherwise, it will be time to buy a new wallet and say goodbye to any cash you may have had.
Learning to Budget
Budgeting is one of the keys to financial success and will be beneficial if you are trying to get back on track. When you understand your income and expenses, you will have a clearer picture of any areas that can be improved. For example, you may discover you are being charged late fees each month from your utility company, or are spending a significant amount each week on takeout meals.
Setting a budget each month will help you reduce your spending, save money, and minimize credit card debt.
Making a Financial Comeback
Whether you have lost your wallet, have high credit card debts, or are a victim of identity theft, it is possible to make a comeback. A budget will help you understand where your money is going, and you will be able to see if there has been any suspicious spending. Reassessing your credit cards can lead to a better deal, and make you think twice about unplanned purchases, curb spending and help you be able to start saving again.