Financial Planning for Emergencies

When an emergency and/or disasters hit it can make you unable to conduct your financial business. We have some suggestions on how you can protect yourself , in case of an emergency. Nobody can predict when or where a disaster or emergency will strike. Be proactive and take these important steps today

How to Prepare

If you only had a few moments to evacuate your home-and were away for several days or weeks-would you have access to cash, financial services and the personal identification you need to conduct your day-to-day financial life? Victims of emergencies and natural disasters , such as Hurricane Katrina, Rita & Gustav, had to face this question. The fact is, natural and man-made disasters strike without warning and can happen to anyone…..and can seriously impair your ability to conduct essential financial transaction.

CHECKLIST FOR FINANCIAL CONTINUITY

Here are some items to retain safely to assure your financial life is not overly disrupted:

¨ Checks/Drafts-These should include deposit slips as well-enough checks to last a month. With just a copy of a check or your checking account number, you can authorize an important payment by providing the recipient your checking account number over the phone.

¨ Cash– The amount you should have available will depend on your ability to use ATM, debit and credit cards to get more cash or make purchases.

¨ ATM, Debit and Credit Cards-These cards give you access to cash and the ability to make payments on outstanding bills. Don’t assume that merchants and ATMs in areas affected by a disaster will be immediately functioning as usual-that's why it’s important to have other options available for getting cash and making payments.

¨ Identification-These primarily include drivers licenses (or state ID cards) insurance cards, Social Security cards, passports, and birth certificates.

¨ Safety Deposit Box Key-Only your key will get you into you safe deposit box, no matter how many forms of identification you have.

PREVENTIVE MEASURES YOU CAN TAKE NOW

You can take steps today to make life a bit easier during an emergency. Here are a few ideas to consider:

¨ Direct Deposit-Having your paycheck and other payments transmitted directly into your account through direct deposit will give you better access to those funds.

¨ Automatic Bill Payment-Initiating this service, if available, will enable you to make scheduled payments-such as your phone bill, insurance premiums and loan payments-and avoid service interruptions.

¨ Internet Services-If available form your bank-online bill payment from your accounts, you can conduct your financial business without writing checks or physically traveling.

FORMING YOUR STRATEGY

Once you know what to save, have a plan for saving it:

After gathering your most important financial items and documents, protect them as well as you can, while also ensuring you have access to them in an emergency. Here’s a reasonable strategy for many people:

¨ Copies-you’ll want duplicate copies of your important documents for yourself, but also consider giving copies to loved ones or at least let them know where to find your records in an emergency.

¨ Storage-A safe deposit box is best for a birth certificate and originals of important contracts. Your passport-medical-care directives and identification should be stored safely at home because you might need them on short notice.

¨ Emergency Evacuation– Having a bag packed and ready is a good defensive strategy. Most of what you should pack will be related to personal safety-first aid kits, prescription medications, flashlights and so on. But an emergency kit also is the place to keep some of the essential financial items and documents noted previously.

LOHENGRIN GROUP