The COVID-19 crisis has affected every single one of us, though it’s level of impact varies. Some of us were financially prepared for a situation like what we just went through, others were not. For all of us, now is a great time to assess where we were, where we are, and where we want to be in our financial lives as we recover from the COVID-19 pandemic.
Financial prosperity in a post-crisis world may seem unlikely or even unattainable. If you’re finding that it's time to dig your way out, CSE Federal Credit Union wants to help. Here are five steps to get back on track:
1. Evaluate where you stand financially. Consider these things:
- Did you have to take on additional debt to stay afloat during the COVID-19 pandemic?
- Did you get behind on previous bills, loans, and other financial contracts, agreements or requirements?
2. Tap into relief resources! Contact us and your other creditors or financial institutions for options – doing this may help stretch your money and accelerate recovery. You may be able to skip or defer payments or avoid late fees. This will likely vary by the creditor but might be able to offer some flexibility. It’s important to do this right away so that you can get back on track and not fall further behind.
CSE is offering financial relief options for members:
- Free Skip-a-Pay options on Loan & Visa Credit Card Payments for those impacted by COVID-19
- 3-Month Forbearance for MYCUMortgage Members. Members who have their mortgage through MyCUMortgage can take advantage of relief plans directly through MyCUMortgage. For complete details, please call MyCUMortgage directly at 877-912-8006.
- Early Withdrawal Penalty on Certificates Waived. Members who have money in a Term Share Certificate can make a one-time lump sum withdrawal or close the certificate with no early withdrawal penalty.
- No Foreign ATM Fees. All foreign ATM fees charged by CSE will be waived for any member who uses their CSE Debit card at an ATM through, Tuesday, June 30th, 2020.
- Daily ATM Withdrawal Limits Increased to $500. Members who need access to cash can now withdraw up to $500 from an ATM with their CSE Debit card.
Contact the credit union for the latest details about these options.
3. Look into finance options post-crisis to help you get back to a reasonable and manageable financial state.
- Consider transferring your credit card balances to a lower-rate card to save some money.
- Consider refinancing a current auto loan to a lower rate auto loan option to save even more.
4. Create a budget around the ‘new normal’. If you’ve had to make some serious life changes and tough decisions you may need to adjust your budget to a ‘new normal’. That may mean cutting out non-essential costs and bills so you can really focus on putting your money where you need it the most to catch up on bills.
5. Prepare for future setbacks, financial challenges, or economic downturns.
- Building an emergency saving is not only crucial for success but in light of any other hardships, it will help keep your mind at ease that you have backup funds to keep on living securely or at least comfortably for a little while.
- Create an ‘emergency budget’, which is different from an emergency savings. Knowing what costs you can cut easily, and quickly can be useful in a time of crisis or urgency. Keeping all of your records, and contact information for your financial institutions, creditors, insurance companies, and others quickly accessible will come in handy.
- Take care of the right now - reach out to see what plans or programs are in place to help you budget in an emergency. It's good to also become aware of deferment programs that may be available at no or low costs later in the year post-crisis to help get you through.
- Work on your credit score – Be strategic in paying bills; paying only minimums makes sense when your cash flow is interrupted. The important thing is that you make on-time payments whenever possible. As you pay down your balances, especially revolving debt (such as credit cards), your score will reflect your progress — especially once you get the balance below 30% of your credit limit.
At CSE we look at our members and your immediate needs. We’re thankful to be able to offer products and services to help each and every member as we move forward in a world post-COVID-19. We want you to know, we’re here. We’ve got your back because as a credit union, that’s what we do. We are a credit union of, for and by people.
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