Recession-proof your credit

3/26/2009  By Lance Cpl. Meloney R. Moses, Marine Corps Base Quantico 

MARINE CORPS BASE QUANTICO, Va.  —  Instead of letting the recession get you down, take charge and get yourself under financial control.

“The bottom line is to be proactive,” said Louis Bromley, a personal financial manager with Family Services. “Have a plan, work the plan and adjust the plan accordingly.”

For most people in financial distress and falling behind on credit card payments, the natural response is avoidance; but putting it off until later won’t make it go away and would probably make things worse.

Instead, the long-term effects are stress on you and damage to your credit history.

If you are having difficulty making monthly credit card payments, address it right away.

If any account is reported to the credit bureau reporting agencies, it could negatively impact your credit rating which may then affect your ability to get additional credit in the future.

However, there are simple steps that you can take to get and keep your payments on track.

Talk it out. Don’t be embarrassed to explain your situation, honestly and immediately, with your credit companies. The sooner you talk to them, the better they’ll be able to help you get your finances under control.

Work it out. Many people experience tough times, but no two situations are alike. Work with your credit issuers to see what temporary payment options may be available to you.

Keep track of your account. Once you’ve set up payment plans, help stick to it by signing up for free online tools like automatic alerts, that notify you of important account updates, and current balance or payment notifications. Some issuers also offer auto pay features ensuring you’ll never miss a payment.

Stay on that course. Once your payments and accounts are back on track, use your credit wisely.

“Living on base is a cost-saving advantage,” said Bromley.

Although most junior Marines live on base, there is still a cause for concern, and care has to be taken to not overspend, explained Bromley. Don’t get into a false sense of security.

Bromley offers assistance in finances and budgeting for all military members and their families, Department of Defense employees and retirees.

Also available are budgeting classes for units on base.

Bromley encourages commands to hold classes for individuals within a unit who may need information.

For information on budget planning or for financial assistance, contact Bromley at 703-784-2650 or louis.bromley @usmc.mil.