COVID- 19 Lockdown-An Opportunity to Manage Your Personal Budget Smartly
At times willingly or unwillingly people get into debts, though it becomes the most stressful experience for anyone. It’s easy to get into debts, however, irrespective of small or big amount; it’s much more difficult and painful to get out of that debt. Often people combine strategies to work on their debts and determine to stick to those strategies until they clear the debts.
Repayment of debt is a challenging factor even though you are financially sound as it involves a specific tenure. You need to have a proper action plan that ensures smooth fund circulation. Since the past few months, the major global crisis hit by the COVID-19 pandemic has disrupted the world economy. The viewpoint towards debt has changed due to the lockdown for an uncertain period. The impact of the deadly virus in varying degrees has left a mark on a budgetary condition to a great extent.
The impact has resulted in all banks and NBFCs to offer a moratorium on the term and working capital loans directed by the RBI. As per the amendment, people are not only allowed for deferred repay of home, car, education, personal, gold loans but also for credit card bill payments. Moreover, RBI has also assured that there would not be any adverse effect of the borrower’s credit score neither it would affect the risk classification of the loan on availing such deferment. The professional Credit counseling services offered by renowned companies like Antworks Money proves to be a better solution in COVID-19 condition.
The consequences of lockdown have put a full stop on several unnecessary luxury expenditures like making impulsive purchases, spending in malls, going to movies and eating out rather home-cooked food has reduced one’s food budget. The ‘work from home’ is the biggest reason for drastic fuel cost-cutting. As a whole, all these have contributed to overall low household expenses keeping a hold on other non-mandatory consumptions.
There is a high possibility of job deprivation, pay cuts, or even delayed salary in the coming days as a result of low productivity in all industrial segments. The socio-economic condition might lead to a worsening situation of substantial or complete loss of income. Hence, it is the ideal time to have a constructive budget plan and explore alternative sources of personal income. Also, the situation allows a chance to retrieve old investments to manage the cash flow challenge during this rough patch.
As a first step, one must stop taking fresh loans to avoid debt. Lockdown has opened the provision for evaluation of your assets and ensure financial security. This is the time to check all insurance and life cover policies and also to ensure requisite medical insurance for the entire family.
People have got enough scope for saving as a principle of the millennium, ‘spend less and save more’ during the lockdown. The situation has enforced people to manage with bare minimum essentials increasing savings. Thus, every single individual needs to take COVID- 19 Lockdown situation as learning and manage income, expenses, and saving wisely. Customers can also avail credit counseling services online offered by the trusted service providers like Antworks Money at an affordable cost. Book credit counseling services online using right now for effective debt control and better budget management!
