We’ve heard all the catchphrases; unprecedented times, new normal, ubiquitous; uncertain times. These words are meant to convey the gravity of the present global situation, but there have been moments of comic relief, like when Justin Trudeau said that face masks can prevent us from “speaking moistly”.
Options for Financial Relief
What’s not so humorous is that more people than ever, will need help to get through the pandemic and beyond until things stabilize. There are still options for financial relief in 2020 available. Here are some of the current options for financial relief to help you find the assistance you or someone you know might need.
Protection for Renters
There is a national moratorium on evictions for renters until December 31, 2020. It’s important that you understand that you will have to be proactive, and in most cases, contact your landlord yourself.
“This current moratorium effectively protects everyone living in one of the nation’s roughly 43 million rental households, regardless of the kind of building they live in.”
But there’s a catch. Tenants who’ve fallen behind on rent must sign a declaration form and submit it to their landlord stating they’ve lost income due to the coronavirus pandemic and have made an effort to look for financial assistance, as well as a few other conditions.
It’s important to communicate with your landlord or management agency before the moratorium expires and come up with a plan or options that may prevent eviction. You can stay current by visiting The CFPB.
Student Loan Assistance
The Federal Student Aid arm of the US Department of Education has made some relief options available for those who are carrying federal student loans. The following provisions were put into effect:
- Suspension of federal student loan payments
- Collections on defaulted loans are stopped
- Interest rates were set at 0% for 60 days
These provisions are currently set to expire on Dec. 31, 2020. While we don’t know if extensions of these provisions will be offered, current information and any updates can be found at StudentAid.gov
Assistance for Homeowners
There is currently loan forbearance for homeowners with a federal home loans. In response to the COVID-19 national emergency, borrowers can enter into forbearance, a pause or reduction in their monthly mortgage for up to six months. Borrowers can request an additional six months if needed. HUD-approved housing counselors can go over the eligibility requirements with those seeking help with their mortgage payments. To find a counselor in your area, please visit: https://www.hud.gov
Help with Other Financial Needs
Even if you get help with housing during the pandemic, families still need to be fed and bills still need to be paid. Most states have received funding but availability changes almost daily. While it’s best to check your state’s website, there is additional information available at https://www.usa.gov/disaster-help-food-housing-bills
Take Care of Your Credit
Being vigilant about your credit is a need that will never go away. Since there is a rise in fraud and scam schemes, it is up to you to protect your credit and personally-identifying information. You can get free weekly credit reports from the big three, Equifax, Trans Union, and Experion, until April 2021. There will still be a minimal fee if you want to obtain your credit score, but this is a great way to keep tabs on your credit information. You can get your report by going to Annual Credit Report.
If you are experiencing financial difficulty and are looking for a solution, CESI is here to help. Our counselors are available to assist if you are experiencing job loss, temporary loss of income or financial hardship during this time. Contact us today for a free financial assessment with one of our certified credit counselors.
