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Writer's picturePenny L.

How a Spike in Covid-19 Can Financially Affect You

Updated: Jul 31, 2023

Throughout the country, many people worry that the next wave of Covid-19 could financially impact their families. Since Covid-19 has spread rapidly throughout the nation, it has affected all types of individuals. Even though you may feel secure now, here are ways that the next wave can financially impact you in the future.



You may become unemployed

During this time, many people are starting to lose their jobs. Some of these claims are due to the closure of businesses due to the shrinkage of a customer base. In other cases, businesses have been forced to lay off individuals due to curfews or other mandates.


More individuals have begun to investigate their options to protect themselves in case of a layoff situation. More people are working two jobs to augment their income. If they lose their primary job, they still have other income to fall back on.



You may rely more on your savings

Since this time is very unpredictable, it is important to save just in case you do lose your job or have added expenses. If possible, save at least a few months of income just in case something unforeseen occurs. Instead of going out to eat or ordering take out, make more meals at home. While at the grocery store, make sure to discount shop to cut expenses.


However, realize that during this time you may have to live off of savings that you have accumulated for years. You may have to dip into retirement accounts to pay your mortgage or other bills. If you need additional income, check out this site that pays up to $25 per survey.


You may have to take time off

As the Covid-19 cases rise, the risk of exposure may increase also. On many occasions, your employer may compensate you if you are forced to quarantine due to exposure or contraction of Covid-19. However, small businesses may not have the capital available to pay you your normal salary while you are not working. This is why you should follow protocol and avoid exposure to Covid-19


You may have to rely on credit cards

If you lose your job, you may have to rely on credit cards for basic purchases such as groceries and other amenities. Remember that credit cards usually have interest rates, which means that you will pay more in the long run. Now is the time to investigate which credit cards have more favorable rates should you need to use them in the future.



You may not be able to pay your debts

If you are unable to work for whatever reason because of Covid-19, then this can impact the repayment of debts. For example, if you contract Covid-19, you may have increased hospital bills or may not be able to make that student loan payment.


If you find that you are behind on your bills, reach out to your bank to discuss the options available to you. In many instances, your bank may be able to suspend fees or offer a lower monthly payment.


You may have to borrow money

Whether you borrow money from a bank or a relative, the cost can be relatively expensive. If you take out a personal line of credit or other forms of loan from a bank, you may be hit with high interest and fees. If you borrow through a family member, then you may risk increased tensions if you cannot pay the money back. Investigate all of your options thoroughly.


The financial ramifications of Covid-19 will be different depending on the individual. The second wave of Covid-19 can financially impact any individual if he or she is not prepared. Investigate all of your options and make an informed decision for you and your family.


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