How Will the Mortgage Crisis Affect Your Kids?

According to "The Impact of the Mortgage Crisis on Children," a report released in May, 2008, by the Washington, D.C.-based policy group First Focus, experts anticipate as many as 2.26 million foreclosures in the next 18 months. Furthermore, it is estimated that these foreclosures will impact 1 in 33 current homeowners. And while there are no statistics available at this time on how the mortgage crisis will impact single parent households, specifically, it's reasonable to anticipate that of the approximately 2 million children who will be directly affected by foreclosures, many will be from single parent households. So what can you do to protect yourself, your children, and your future?

Below, I've outlined four basic steps you can take -- starting today -- to protect yourself. I've also included links to additional resources that provide more detailed information and guidance, so that you can feel confident in accomplishing each step.

1. If you have a mortgage, or even if you rent, do everything that you can to remain current on your payments.
• How to Avoid Foreclosure
• Which Bill Should I Pay Late?
• How to Repair Your Own Credit


2. Take a close look at your finances and make sure that you are not living beyond your means.
• 7 Ways to Cut Household Expenses
• Stop Spending Leaks
• 12 Reasons to Budget


3. Look for ways to earn more money, if needed.
• Earn Extra Income as a Single Parent
• 12 More Ways to Earn Extra Income
• 8 Things to Consider Before You Go Back to School


4. Ask for help when you need to, in order to get by.
• Temporary Assistance for Needy Families
• Find a Food Pantry in Your Area
• Get Help Through 2-1-1

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