In part one of this article  we talked about how many Arizona residents in financial trouble declare bankruptcy to get a fresh start. But after bankruptcy, you still need to focus your efforts learning new habits:
3. Be proactive about your finances
If you start to fall behind on some payments, DO NOT bury your head in the sand. Pick up the phone before you bill is due and ask the creditor for an extension, a reduction in interest or penalties or to start a more affordable payment plan. The sooner you reach out for help the less damage you will do to your credit score.
4. Build a cash cushion
If you don’t have money set aside for an emergency you will be unprepared for the next emergency. Start out by having a comfortable amount automatically deposited in a savings account and ratchet the amount up over time. You should aim to have at least three month’s worth of expenses saved up.
5. Focus on long-term goals
Once you stop living paycheck to paycheck, you can start focusing on your long-term financial strategy. Do you want to go back to school? Buy a home? Start your own business? Picture where you want to be five years from now, and then chart out a course to get there.
A little self-reflection and financial discipline can go a long way toward keeping you out of financial trouble a second time. So take your fresh start and make the most of it. You deserve it!
At The Zolman Law, we believe that your life shouldn’t be defined by debt. We have helped hundreds of people just like you find the relief they deserve from harassing bill collectors, paycheck garnishment, foreclosures proceedings, and – most importantly – the constant worry about money and what to do about your debts.
We are a dedicated debt relief law firm. We help people from Phoenix, Mesa, Gilbert, Queen Creek, Chandler, Scottsdale, Apache Junction, Tempe and throughout Arizona file for bankruptcy or work through tough tax problems every day. We can help stop the debt cycle and give you relief from your overwhelming, burdensome, and crushing debt. Please don’t wait another moment. Call us right away – our attorneys will help get you the fresh start you deserve.