They say we learn through mistakes, and financial errors are committed more out of ignorance and generally because we are positioned on the learning curve in life, but sometimes the consequences of our financial mess can be devastating, and handling yourself smartly makes all the difference to surviving gracefully.
Contrary to public perception you don’t have to be a math wizard to avoid financial mistakes, but you can definitely acquire the skills needed for controlling cash and managing credit, and these can be easily learned by interacting with office professionals and personal finance experts.
The best ways to pick up the pieces following a financial blunder
- Ask yourself-so what if I have done the unthinkable? It’s not uncommon. Many great minds have committed worse blunders. Try and relax and never push the panic button or hyperventilate. Sleeping over the problem may help clear the cobwebs of confusion and light headedness and help you gain a clearer perspective. Nothing dispels confusion more effectively than the sparkling freshness of a new dawn.
- See if you can reverse the damage. If you are feeling remorseful over an expensive purchase try returning it and if that doesn’t work resell the item through e-bay or look around for a colleague who might purchase it from you. You can recoup the loss in many ways.
- Many mistakes like losing money over investments in the stock market are not reversible in the short term. Simply shift the focus on to long term investments that will help you recoup losses gradually over time. Try and remain rational and smart in all your decisions.
- Depression is the number one fallout of a financial explosion and it can claim lives too. Immediately seek the company of family and friends who will guide you back to sanity and good health, don’t shun company and don’t hit the bottle.
- Avoid bouts of retail mania, frequent complaining and excessive self-criticism or self-indulgence after the mistake, all of which reduce your sense of self-esteem.
- If a mistake in the office is serious enough to cost you a promotion or salary raise, try and move out of that field completely, ask for a change or move on to a new job that is less demanding instead of remaining and being constantly reminded of your failure.
- Come to terms with a financial failure and move on confidently, promising yourself to learn from the mistake and emerge a wiser person. Don’t cling to memories. Keep your focus firmly on long term goals and your retirement, and what you need to do to save money for achieving these goals. Remember that the quality of the journey is more important than the catastrophes or stoppages on the way.
- Millionaires like Warren Buffet made their millions not by following a smooth as glass journey, they survived many setbacks and overcame monumental mistakes and hurdles with grit and determination and never lost sight of their goals. So, stop treating failure as a full stop, see it is a hyphen or comma in an unending journey.
What you can do if a mistake weakens you financially and you need immediate relief
Big cash emergencies can implode the most well planned budgets and emergency funds and leave you financially devastated, but some of these emergencies can be mitigated if you could somehow raise money quickly without a moment’s delay.
The installment loan in California is the best alternative for curing emergency cash crises. Loans for vehicle title can be raised within fifteen minutes merely on the security of your car title papers. These auto collateral loans charge a stiffer interest rate usually below 25% APR, but this need not be considered as a disadvantage because the loan carries a highly flexible repayment program that suits all income groups.
The car equity loan does not penalize a person having bad credit. What appeals to people facing a cash crunch is that a pawn car title loan can generate a substantial 60% of the resale value of a vehicle, thereby creating a funds corpus that can mitigate any financial emergency that assumes life threatening proportions.