4 Best Financial Tips for Your Family in the New Economy

The financial markets have seen quite a bit of turbulence in recent months thanks to Covid-19 and the lockdown orders. Businesses have been forced to shut their doors, either temporarily or permanently, in the wake of this financial mayhem. That might be a bit worrisome for the average consumer, but taking the right financial steps now can help you emerge from quarantine a financial victor.

Take a look at five financial tips and trends you should know post-quarantine about surviving in the new economy:

1. Build Up a Cash Reserve

Have your savings dwindled since the start of Covid-19? Coming out of quarantine means getting back to saving by building up a cash reserve. Start an emergency fund again so that the next time something like this happens you'll be well prepared to survive it. Saving between three and six months' worth of household expenses is recommended, but the more you have the better. So start putting away at least 10 to 15 percent of your income for a rainy day (or couple of months).

2. Consider a Credit Card

A credit card can help you get back on your feet if you've been struggling financially in the last few months. It can help you pay off overdue bills or catch up on rent. Especially if you're in the military, USAA's credit cards can benefit you in the long run by providing perks and rewards that help you earn some of your money back. Some of them include:

• 3X points on dining out

• 2X points on gas and groceries

• 1X points on all other purchases

• 2,500 bonus points after first purchase

• No penalty APR

• No annual fees

• Travel and retail benefits

Some cards also allow you to pay less in interest if you carry a balance from month to month as well as get the same rate on purchases, cash advances, and balance transfers.

3. Think About Getting a Loan

If Covid-19 has left you in financial ruins with bills piling up by the day, consider getting a loan to help you keep your head above water. Once you're approved, you'll get a lump sum of cash you can use for just about anything, such as consolidating your debt, paying down some of your bills, paying your rent or mortgage, or catching up on credit card payments. Browse lenders online to find out what kind of rates you can get for a personal loan, as well as how much of a loan you'll qualify for.

4. Don't Panic-Sell Your Stocks

You might be tempted to unload all of your stocks since the market took a nosedive (or two) in the recent months, but financial experts say that panic-selling your stocks isn't the right move. Instead, you should do your best to stay the course. Markets fluctuate and true investors recognize that they always bounce back. According to NBC and financial experts, panic selling will only hurt your portfolio. Don't make that mistake. Instead, consider loading up on stocks when the market is low so when it bounces back, you'll have made a decent profit.

Preparing for the New Economy

Coming out of quarantine means things are going back to normal - well, almost. Either way, you need to be prepared financially for the new economy. And that involves getting your finances in order one way or another, whether that means applying for a loan, getting a credit card, avoiding panic-selling your stocks, or building up a cash reserve, you can get back on the path to financial success.