Top 4 Scary Financial Scenarios of Life

Dealing with finances is something that we all have to do. Unfortunately, unless we follow a particular educational path where we face lessons that deal with accounting, many of us reach the stage of life where we’re 100% responsible for our finances without actually having any clue about what to do.

jobless
photo credit: Steve Rhodes

Of course, we’ve all dealt with parents giving us advice that feels more like dictation, and as a result didn’t listen, only to find later that, actually, what they were saying was true.

What are the top four financial nightmares we are liable to face in life?

Credit Card Bills

One of the great things about financial problems is that many of them are self-inflicted, which means we can learn from them and put things right. ‘Using the plastic’ is something many younger people just can’t resist; buy something now, and pay off as little as possible so you always have money to spend on other things.

Of course, we all know that it never works like that, unless you’re sensible enough to have a cash-back credit card that you pay off 100% at the end of each month. Nightmare really is the only word to describe the feeling of seeing bills landing on your doormat or inbox that you know you’re going to struggle to pay.

Arranging a Structured Settlement

If there’s a positive reason for arranging a structured settlement, then it isn’t too much of a problem; the issue comes with the anxiety and worry you experience if you find yourself needing one for medical reasons, for example, following a car accident or another incident.

While some people find website such as Structured Settlement Quotes where they can put their worries at ease and find additional options, others aren’t so fortunate and end up in a situation that seriously affects their mental health.

Losing a Job

Yes, there might be welfare systems in place that protect us when we lose a job, but these will often not fully cover things like your mortgage payments and certainly aren’t going to cover your over the top spending on credit cards, the hire purchase agreement on your car, and various other things.

We can then miss payments, which then influence our credit rating and makes it harder for us to get on our feet once again, and can lead to years of strife. The added kick in the teeth is if we’ve been made redundant rather than be fired for doing something we shouldn’t have.

Victim of Financial Fraud

There are more than a few layers to financial fraud, and it’s also true to say that there’s probably a 50/50 split between the times we become victims of fraud due to our own stupidity, and the times where we are fleeced and can’t do anything about it.

At best, being the victim of an attempted fraud is inconvenient as you wait to receive new account details and card. At worst, you could lose a fortune, although most people today have the means of recovering their losses, particularly if it can be proven a bank, for example, was at fault in some way and could have prevented the fraud.

Finance is always an intimidating thing to deal with, especially if we’re ever confronted by one of these nightmares. Thankfully, with a positive and thoughtful approach, there are usually answers to most of these scenarios.

About the Author: Stuart is a blogger with a history of financial problems, most of them admittedly his own doing. Stuart hopes to use his experiences to help others avoid finding themselves in a similar situation, although he also understands how easy it is not to listen to advice when empowered by money.

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