Increase your Coronavirus Stimulus and Tax Refund Checks

Summary

• If you can pause payment on any bills, that will free up more money for groceries, medications and essential household items.
• Using the cash to pay down your financial troubles can help raise your credit score.
• Put aside some money for emergencies.
• Consider supporting local business owners and restaurants that are only open for delivery and takeout.

What is the best method to use your stimulus and/or your refund check?

First, determine if you can pause or change the payment dates for certain payments such as your mortgage/rent, credit cards, utilities, mobile phone, cable, student loans, etc. by contacting your bank, landlord, cell phone company, etc. Many are offering flexible payments during this time, however, you must contact them first to set up a contract. If you skip payments without an agreement in place, it can have a negative effect on your credit rating.

Rather than employing this money towards bills that you could temporarily pause payment on, you are able to maximize these checks to best support your daily routine. Based on your financial situation, below are some recommendations:

• Groceries: Consider non-perishables as much as possible in the event you have to self-quarantine sooner or later.
• Pharmaceuticals: Refill prescriptions and/or purchase OTC (over-the-counter) products.
• Support local business by purchasing gift cards: Part from the objective of the stimulus checks would be to inject a lot of it back into the local economy, so within your means, you might make use of the funds to aid local business owners.
• Ordering takeout or delivery: Many restaurants are just open for delivery or takeout. You can help them remain in business and at the same time practice social distancing by ordering in.
• Set some aside for emergency expenses just in case anything unexpected happens.
• Pay off small amounts of credit debt to release a number of your line of credit for emergencies.

In the meantime, Credit Sesame can be a free valuable resource that will help you monitor your finances over these uncertain times.

Please tell us for those who have any other tips or resources to incorporate in the comments below. And most importantly, please stay safe and healthy.

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