A lot of people are spending less money simply because there is no place to spend it. I think that’s great. But as a financial plan, it’s not very sustainable. If you’re looking to be a little more consistent in your coronavirus-inspired cost-cutting, there are some opportunities available now that will dry up when life returns to normal.

Cost-Cutting Opportunities

The CARES Act is suspending payments on student loan debt until September 30th, with no interest. While they’re doing that, it’s a good time to pay off your higher interest loans like credit cards and car payments.
Allstate, Geico, and Liberty Mutual are giving refunds and credits. Check with your automobile insurance company to see if they’re giving refunds — because their competitors are.
Life insurance companies are suspending in-person medical exams for their policies. That means it’s probably a good time to get a term life insurance policy.
Try to negotiate with your credit card companies. Some of them are waiving late fees and lowering interest rates, making it a good idea to get in touch with your credit card companies and see what they’re offering.
Mortgage companies are also showing some flexibility during this time, so talk to your representative. If you’re out of work maybe they’ll give you a one-month waiver. It’s all done on a case-by-case basis, so you’ll never know if you don’t ask.

Everyone is telling you “This is a good time to…” — but a month’s reprieve from your mortgage payment literally is not going to happen again. This is a great time to take advantage of any lifelines being thrown at you — especially if it could help you avoid a late payment or missing a payment.

Stay safe and healthy and if there is anything we can help you with, please don’t hesitate to ask. We are always here for you.