Today, It’s Not Only Forex That Is Suffering

It may take a while before consumers and businesses will be more confident on the economy again. Forex is in its worse shape. The value of your money in other countries will already be pennies, compared to what it was a long time ago. There are already a number of banks that are either closing or announcing their bankruptcy. On the other hand, there are several companies that are already shutting down, leaving thousands of workers without work, especially during the holidays.

Right now, the government is very busy coming up with rescue packages. For instance, China has already expressed their plans of launching a stimulus package in the form of reconstruction of areas damaged by earthquakes and rehabilitation of their old infrastructures. This will then boost the export of equipment, particularly those coming from California, Brazil, South Korea, Taiwan, and Japan, to name a few. The United States is currently opting for the approval of bailout plans and extending loans to companies in the hopes that they will be able to keep their businesses afloat and preserve as many jobs as possible.

Nevertheless, retail sales are in their ultimate down low. Just this October, the retail sales fell to 2.8 percent compared to the fall that happened in September, which was 1.3 percent. There are also a lot of employees who are now filing jobless claims in order to seek temporary support from the government.

What to Do in Times of Crisis

There are a lot of things that you can do so that you can better manage the crisis at hand. First of all, it’s very important that you can have total control of your spending. To make sure that you can do that, you can take note of the following tips:

1. Pay your debts. Make sure that the debt will become one of your monthly expenses and not just be an option that you have to pay up when you have extra cash. This is especially true when your interest rate is dependent on what is currently the rate in the market. If you don’t like to end up paying huge fees in the future, you’d better do this. This is also important to ensure that you don’t spend a huge chunk of your salaries in paying off penalties, which you could have controlled or prevented in the first place.

2. Save. Just like your debt, savings should be a monthly expense. This way, you will surely be forced to save some of your hard-earned cash for the rainy day. These days, when you aren’t really guaranteed that you will still have a job in the next months to come, your savings will be your contingency plan.

3. Start a business. Having a business seems to be a good idea these days, particularly when you settle for a home-based or online business. You can minimize your everyday expenses since you don’t need to set aside transportation and food expenses. You can also maximize your profits and have great control over them.