Tennessee is by no means isolated from the tremendous economic fluctuation the rest of the nation has experienced in the past couple of decades. If you consider your lifestyle one of average means, you likely have good and bad times concerning finances. Perhaps you're one of the lucky ones who received a raise in pay this year. On the other hand, maybe the extra financial breathing room proved short-lived when unexpected health problems arose.
Unplanned financial difficulties such as a car breakdown are common setbacks among the working class and most of us aren't equipped with the saving to handle the costs out-of-pocket. Credit cards are a savior to many of us, but can quickly turn into a curse. The important thing to remember is that most financial problems are temporary and not worth going deep into long-term debt over. In fact, you may simply be unaware of available options for securing immediate debt relief.
Avoiding medical debt
The Kaiser Family Foundation lists medical bills as the number one cause of financial crisis in the United States. As many as 40 percent of U.S. residents say medical debt is a key factor in their financial problems. Since you can't predict your future health condition, is there any way to avoid medical bill problems? The following information may help answer this question as well as point you in the right direction if you need debt relief assistance:
- Many Tennessee residents have successfully avoided major medical debt by creating emergency savings funds. This involves setting aside monies to use specifically for any medical needs that arise. You can customize your own plan, either by setting aside a predetermined amount according to a regular deposit schedule or by simply tucking a few dollars into the fund whenever you are able, making a concentrated effort to at least save something out of every paycheck.
- Nearly 70 percent of U.S. citizens have less than $1,000 saved. You may be even more surprised to learn that nearly 35 percent have no money in savings at all.
- To help you start a savings or emergency fund plan, you can analyze your spending habits by writing down all your purchases and expenses. Then, you can create a second list of essential expenditures. You may want to try to eliminate spending money for anything on the first list that is not also on the second.
Sometimes, downsizing, selling assets or taking on a second job is still not enough to overcome a serious financial crisis. If this describes your current situation, you may want to consider other forms of debt relief.