As a single parent, the factor of finance management is significant trouble that you have to cope up with. There are many other troubles which are emotionally as well as physically draining, but in the practical world, the importance of the financial trouble is perhaps the primary one that you need to deal with. In the contemporary world that is driven by finance, it is imperative that you have a proper finance plan and are able to work out your budget accordingly. Parenthood is blissful but more than that it is a huge responsibility that you have to take care of entirely on your own when you are a single parent. There are lots of things you have to think about like the child’s future as well as the present parenting pattern that would be the healthiest for the child both psychologically and physically.
Debt for a single parent
In the financial world, the term debt is dreaded more than anything, and for a single parent, this is perhaps the epitome of hardship since they have to single-handedly look after everything ranging from finance to caring for the child. Incurring debt is also a lot more possible for a single parent since the expenses of rearing a child single-handedly is a task that can be very trying for a number of parents. Here we are going to discuss the various factors which would help you pay off the debts you have slowly but steadily and avoid bankruptcy no matter what your earning is. Planning a strategy to pay off debts, while maintaining your household, in a healthy manner is very exceptional quality. You would have to imbibe this over time to ensure that your child is protected from the trauma that debts can lead to.
Some extra sources of making money
If you have a regular job and specific work times, you can also look for ways in which you can additionally earn more from various sources. There is different work from home prospects and as a single mother who already works at a steady job this would be a perfect option since that way the time you spent with your child at home would not be compromised with, but you would be getting a few extra grands to cope up with the situation better. This is easier for parents who have a bold enough child who can understand the situation and hence would be understanding about what you are going through. Or else you may have to arrange for a crÃ¨che for the child or look for job prospects as a part-time at places which allow you to take your child along with you or at least flexible work timings.
Planning a budget
Make sure that you have chalked out a budget for your household expenses as well as for your monthly needs and you stick to it. There are different kinds of expenses that every household have, and if you are trying to maintain a budget, then it is mandatory that you list all your expenses and try to find out the ones which are indispensable and the ones that you can cut off from the list at least temporarily. Planning a budget for single parents can be difficult as you also have to entertain your child’s tantrums as well as your own needs. But you need to remember that you have a debt to pay off and even if, for a few months, it is vital that you do not give into your urges. You can let your child have the fun they want while cutting down on your own entertainment and the expenses associated with it. Or you can simply plan fun time on a budget or where there would not be any expense at all. It can be anything from visiting the park and playing around to a movie night at home with your kids and inviting his or her friends over and homemade snacks for all.
Borrowing money or getting a loan
In case the crisis is really serious, and you are not able to cope up with it on your own with the earnings that you have, you can try and get a small amount of loan to handle the situation. You can check out with Liberty Lending to apply for a loan online. Additional benefits for a single mother regarding the interest rate and repayment duration are also available. However, this should be your last resort when you are not able to work out any other solution. Also, do remember that getting a loan to pay off your previous loan would mean you are adding up to your loan and hence that is an additional pressure. Moreover, if your credit history is not good, you would have trouble getting the loan in the first place, and that is another crucial factor that you should be considering.
Avoid using your credit card during this period
As the name suggests – it is a credit card, and you would not want to incur more debts when you are already having trouble paying off your debts. Try not to resort to using the credit card under any situation. If you need to, then simply lock all your credit cards away in some place where you would not be looking in to for a while. But it is absolutely essential that you are avoiding using the credit card unless you are able to get out of this situation for good. Also, do not get tempted by offers when you get a call offering you a new credit card as well.
Wrapping things up
It can be concluded that managing your debt is a skill that you need to master to ensure that any kind of loan can be easily dealt with. However, the best solution to debt management is looking for debt settlement options or trying and avoiding incurring debt at all.