According to recent data, the US unemployment rate has fallen to its lowest rate (8.6%) since the spring of 2009. However, in spite of the shocking drop in US unemployment rate, there are still many who are struggling to get a job. Actually, a household survey revealed that in November 315,000 people stopped searching for work. However, though things have improved a bit, there is still a long way to go.
Now, under this circumstance, if you don’t have a job, then you’re certainly experiencing a worse time. The situation is perhaps worst if you have massive student loan debt and other household obligations. However, there are ways to combat this nasty situation. In order to shed off your debt, you can either seek help from professional debt help companies or handle this on your own. Below are 5 Killer steps to deal with your unpaid debts when unemployed:
1. Continue your job hunt: You should first concentrate on getting a job, no matter whether it’s a full-time or not. Remember, any incoming amount is better than nothing. Browse through the classified pages and moreover the web to see what opportunities are available for you. Accept any job that is currently offered to you, no matter whether it suits your dignity or not as you’re always free to run after better opportunities.
2. Protect your home: Your primary goal should be defending the house you live in. Reach out your mortgage lender and tell about the financial hardships you’re facing. Request them to relax the terms and conditions of your original mortgage deal so that you can pay those off. If the lender feels that you really wish to pay off your remaining mortgage payments, he might respond to your petition. The negotiation process with the lenders can be little nerve-racking at the beginning. However, if you act thoughtfully and with patience, you can definitely solve the matter with your lenders.
3. Put in place your priorities: Set your priorities first. Always pay for basic necessities like food, clothes, shelter and other utility bills at the beginning of each month. Try to get help from curriculum's like food parties, energy and heating assistance programs. If you have money left in your wallet even after paying for basic monthly necessities, go after paying your credit card and other bills.
4. Get unemployment assistance from Govt.: Try to reach out your state’s Department of Labor and see if they have any program to assist those who are unemployed. Govt. benefits as Unemployment Insurance (UI), which is a federal-state joint venture, is there for those who lost their jobs without any fault of their own.
5. Free Application for Federal Student Aid (FAFSA): If your kids are in college and you have no employment, you can amend your FAFSA (Free Application for Federal Student Aid) in order to get more student loan aid. However, make sure you submit your application with all necessary documents, including evidence of your jobless state.