Financial terror

[figmo]

My checking account has a negative balance.

I almost have a deliverable for karisu_sama and her husband, but Virtual PC keeps saying it's "Out of Memory" when I try to install a critical piece of software.

Even when the radio station pays me tomorrow my checking account will still have a negative balance.

I have money in Paypal I need to get to Consonance, but I can't move it because it'd get sucked into the vortex of my checking account if I did so.

I can't collect unemployment because I "earned" money even though I'm not collecting a red cent of it.

I don't have enough money left in my E*Trade account to pay my mortgage and my bills.

I don't know what to do.

Comments

Wish I could help...

[kshandra]

...but I'm in the same (leaky) boat over here....

[freyjaw.livejournal.com]

I'll see what we can do, okay?

[drewkitty.livejournal.com]

Ruthlessly triage your financial situation.

Pay secured debts, i.e. the mortgage. FIRST. Pay service bills you can't survive without (water, power, phone) but pare them back to minimum levels. Cancel any services you can survive without (i.e. cell phone . . . get a pager). Then buy food only in bulk, set a grocery budget and stick to it. I recommend nonperishable foods from Costco. Spend only enough on gas to get to and from work.

Call unsecured creditors (credit cards) and tell them you're working, haven't gotten paid and are now broke. Ask them if you can send them $20 or even $5 to show good faith, and tell them you'll keep them informed. But don't pay anything above bare minimum, and if you must short someone, short the unsecured debtors . . . it's not like they're not used to it. It takes 2-4 months to get from "deadbeat" to "lawsuit" for unsecured, and they won't even go that far if you're still communicating with them. Be sure to mention that your SO has a serious illness. If you are honest with them but still have a good enough sob story, they will work with you.

CANCEL DIRECT DEPOSIT. As you have discovered, it is very convenient until things get ugly. An alternative is to split your direct deposit into two accounts with different banks. Given the radio station situation you may not want to ask them for checks . . . depends on whether you are hoping to go "back" or not. Asking for checks can send a message you may not want to send.

Think of cash as a scarce resource and manage it accordingly. Don't freak out too much. Even if you totally IGNORE the mortgage it takes 2-3 months for the bank's threats to go towards actual legal action. But pay the mortgage first because it's most difficult to "recover" if things go bad. If you have a roof over your head and a way to get to work, the other bills are mailbox stuffer.