When you are on a Debt Management plan you will find that the budget you have been set typically doesn’t allow you to cover the costs of unexpected bills.
Due to the nature of life it is near impossible to plan for every possible eventuality and before you know it, something can happen meaning you have a large bill to pay.
In this post I take a look at how you can try to mitigate the unexpected to allow you to be better prepared or what to do if disaster has already struck.
Talk to your Debt Management Provider
The first thing you should do is to talk to your Debt Management Plan provider. They may be able to reduce your payments for that month meaning you have a bit more available for your emergency expense. They are there to help you so don’t feel bad calling them.
It could also be that your current budget is not realistic. For example it might not allow you enough to purchase your food for the month. It may be worth asking for a review whilst you are speaking to your provider.
Save a little every month
I recently wrote a a post about saving up an emergency fund and why it is something I have done to help avoid unexpected costs. However saving here and there could help you but it really depends on how much you can save.
This suggestion is more a long term thing as that won’t help you now.
Check and review your Budget
It may be time for you to review your budget. Perhaps the budget you created at the beginning of your Debt Management Plan no longer works for you. Perhaps you need to set aside money for car maintenance. Whilst that won’t help you now, it will mean you are better prepared for the future.
Other things may also be costing you more, for example your gas and electricity or food costs. I would recommend contacting your Debt Management Provider to review your expenses.
Getting some money quickly
What I have done in the past to help tide me over is to sell my phone. A lot of us have smart phones which are worth a bit of money. I normally send mine off to Mazuma mobile because they are quick. I have written a review of Mazuma if you would like to find out more.
Whilst selling my phone did mean I used my rubbish one, it did solve a financial problem I was experiencing at the time so it was worth it.
You could also sell things on eBay but it could take time to get the money so that might not be the best solution. However it is a possibility. I have written about selling on eBay if you would like to read that.
Friends and Family can sometimes be a lifesaver as well if you need to borrow some money but make sure you will be able to pay them back.
Bad ideas for getting money
You might also think a Payday Loan is the answer but please avoid this at all costs. It will only make next month even worse when you have to pay it back. These types of loans are so expensive and should be avoided at all costs, especially when you are in debt.
Not paying your priority accounts is also a bad idea. So for example missing your rent payment or you gas and electricity payment.
If you have any suggestions of your own, please leave them in the comments box below.