SCAMS BULLETIN Host Jay White is a volunteer attorney who provides free legal services for low income seniors in San Mateo County, California.

April 21, 2020

FINANCIAL IMPACT OF COVID-19

COVID-19 has thrown the economy into a tailspin. Many people have been laid off, furloughed, or are working fewer hours. As wages dry up, bills can pile up. Debt can be tricky – especially when you are short on money.

Here are some ideas from the US Federal Trade Commission about how you can manage your debts and start regaining your financial footing.

Gather your bills: Make a list of your monthly bills: rent/mortgage, car payment, utilities, student loans, medical bills, and anything else. Factor in how much you need for food, medicine, and other necessities.

Ask for help: Many companies have special programs to help. Contact the companies to whom you owe money. They might agree to a new payment plan with lower payments or delayed due dates. Make sure to get in writing any changes.

Find out if your state or local government offers programs that will allow you to hold off on paying some bills right now.

Trouble with your mortgage payment.  If you have a government-backed mortgage, you may be able to delay payment by contacting your servicer by calling the number on your statement.

Need additional help. The US Federal Trade Commission has advice on how to cope with debt in the short term, and how to get out of debt when you are able. WWW.FTC.gov/creditcounselor has tips on how to choose a counselor for guidance.

Prioritize if you need to: If you still can’t pay everything on time, look at what would happen if you couldn’t pay each bill and decide which to pay first. Would you lose your home? Would your car be repossessed? Would your debt go into collection and affect your credit report?

SCAMS

Watch out for scams: In stressful times, scammers are everywhere. Beware of anyone purporting to be a debt management entity that guarantees it will manage or pay your debts. Do not pay up front for that fake service

If you are aware of a debt relief scam, FTC wants to know. Let us know at ftc.gov/complaint.
Attb: FTC