Downtown Honolulu, Hawaii
841 Bishop Suite 2221
Honolulu, HI 96813
(808) 524-4529

3 Tips for Handling Debt After Losing Your Job June 16, 2020

Downtown Honolulu, Honolulu
3 Tips for Handling Debt After Losing Your Job, Honolulu, Hawaii

Like many Americans now, you may have lost your job and have no idea when you’re going to find another one. In the meantime, the bills are piling up. Having a clear-cut plan will help keep your house in order until you have a new source of income coming in to put toward debt relief

What to Do About Debt When You’ve Lost Your Job

1. Apply for Unemployment

In Hawaii, you’re most likely eligible for unemployment benefits if you lost your job through no fault of your own. You must have earned wages for insured work in two out of the last five calendar quarters preceding the effective application date. To fill out the forms, you’ll need a Social Security number, driver’s license number, employee information form, and pay stubs.

If you’re deemed eligible, you’ll receive around half of your previous pay each week for the first few months and a lowered amount after that. You’ll also be required to check in with an unemployment office to show you’re actively looking for work. 

2. Create a Survivor Budget

debt reliefUntil you can land new employment, you’ll be living off savings and any benefits you can acquire, which is likely much less than what you’re accustomed to. To meet this new budgetary limit, make a list of guaranteed money coming in and bills due. 

Eliminate all unnecessary payments like subscription services and cable. When you have your finances trimmed down to the bare necessities, determine how much you can allot to pay for essentials like food and toiletries each week. 

3. Prioritize & Negotiate Debt

If your survival budget looks constrained or is still in the red, you’ll have to make some further decisions to secure debt relief. For instance, while you may not be able to forgo paying mortgage or rent payments, you might surrender a vehicle and take the bus instead. 

It may be possible to negotiate with your creditors for a lower monthly payment. Mortgage lenders, in particular, are often open to loan modifications. Your changed circumstances might make other loans eligible for deferred loan payments or forbearance. You can also enroll in a debt management plan to reduce the total monthly payments you must pay on your debt.

 

If you want to unload the burden of debt during these uncertain times, turn to Greg Dunn, Bankruptcy and Debt Relief Attorney in Honolulu, HI. For over 25 years, this bankruptcy attorney has provided reliable legal representation to clients seeking debt relief, home foreclosures, wage garnishments, and tax relief. Schedule a consultation today by calling (808) 524-4529, and visit his website to learn more about his debt settlement program and bankruptcy assistance.

Other Announcements, Events and Deals from Greg Dunn Bankruptcy and Debt Relief Attorney
How to Prioritize Your Debt Payments, Honolulu, Hawaii
From dealing with student loans to credit cards, many adults dream of finding debt relief. Yet multiple accounts can make the process even more challenging. If you fall int...read more
Debt Settlement vs. Bankruptcy: What You Need to Know, Honolulu, Hawaii
Debt settlement and bankruptcy are both viable paths to debt relief. They can reduce and, in some cases, eliminate your debt, but each involves different processes that come with ben...read more
4 Myths About Bankruptcy, Honolulu, Hawaii
Bankruptcy is a legal process that provides individuals with debt relief. Unfortunately, misinformation often prevents people from considering it as a viable option for improvin...read more
How Does Bankruptcy Impact Your Credit Score?, Honolulu, Hawaii
If you’ve accumulated debt and your financial situation has begun to feel out of control, you may be considering bankruptcy. This option will get you back on your feet and keep credi...read more
3 Strategies to Stop the Foreclosure Process, Honolulu, Hawaii
Falling behind on mortgage payments can happen to anyone and is often unavoidable due to an unexpected job loss, illness, or other financial hardships. Unfortunately, once you d...read more