When I am short on money, I know that it is time to decide to live within my means. One thing that has been bothering me for months was the amount of money I spend on fuel. I decided that it was time to do something about it. I took the matter into my own hands and started planning the way I use my car. I only go where I really have to. For example, I try to only go to places to shop that are on my way to work. If a grocery store is too far, I do not bother to go there anymore. I used to drive for fun in the past taking my family to various places around the town, but I do not do it anymore as I try to save money on gas.
Have you ever faced a financial crisis? Everyone, at some point in time, will face money problems. Whether you do not have enough money to pay the bills or you are just starting to get on your feet financially, it happens. If you find yourself in a situation where you must move from your home because of finances and you are without a home and must live with family or friends, you likely do not know what to do with all your items. So, what items should you take, throw out, and store? Let’s look.
What to Take with You When You Leave
If you must leave your home behind, it is going to be a difficult time. You may be wondering what exactly you can and cannot take with you and what you will do in a couple of months.
Before you panic too much, there are some items that you want to keep with you, no matter where you plan to go.
Always keep these items with you:
- Kid’s toys and supplies to care for them
- Important documents (i.e. bank records, birth certificates, SSNs, etc.)
- Kitchen items (i.e. utensils, pots and pans, etc.)
- Computer/laptop/hard drive
What You Can and Should Store
Of course, you do not want to take too many items with you, especially if you are sleeping on the couch at a friend’s house. Below, we will talk about some of the items that you want to store.
- Clothing you will not need or use at the time (i.e. seasonal clothes)
- Duplicate items
- Outdoor furniture
- Indoor furniture
- Lawn equipment
What to Toss Out
You are already facing a hard-enough time as it is and now you must think about things to throw out. When it comes down to it, only toss out what you are comfortable letting go. For instance, if you have items you have never used or items that you never plan to use, don’t hold onto them.
Store what you want and only toss out what you feel you can do so without any issues.
Quick Storage Tips for You
If you do need to move in with a friend or family, setup your storage unit for easy access because you will likely be in and out of the unit often. Below are some details to determine how much storage unit space you need.
One of the ways that you can organize your unit is to mark the boxes with what is inside. This way, you can quickly identify the box you need and grab what you want from it.
Don’t Let a Financial Hardship Bring You Down
Yes, it is easier said than done, but try not to allow your financial hardship to bring you completely down. Do take time to get back on your feet and don’t be ashamed that you had to place some of your items in a storage unit. People store items all the time, so take this extra time to focus on yourself and know that your items are safe as you do work to get into a better financial spot.
The peer to peer lending industry in the U.S. has grown dramatically since its inception less than fifteen years ago. Total loans issued by Lending Club and Prosper total over $50 billion. In 2018 alone, Lending Club issued over 500,000 loans worth over almost $10 billion. It is clear that, barring some unexpected regulations or legislation from the federal government or many state governments, this industry is firmly established and positioned to grow in the future. In this article, we will look at the outlook for peer to peer lending investing in the U.S. for 2019.
First of all, the state of the consumer lending market in general is probably the most significant indicator of the near term prospects for this investment. According to credit score provider Transunion, the consumer credit market is expected to grow in 2019. This outlook is based on the current low unemployment rate, strong consumer demand and continued low interest rates (by historical standards). This opinion is also shared by The Kenyan Wall Street which sites low unemployment and rising personal income.
Another important factor is the competitiveness of the major peer to peer lending platforms, specifically Lending Club and Prosper. Prosper is a privately held company so there is limited information available about the company’s financial situation. However, Lending Club is publicly traded so there is plenty of information available to the public. While the company has experienced significant revenue growth, it is expected to lose money for 2018. According to CNN Business, analysts expect an increase in the share price of 35% to 175% and their consensus rating is ‘Hold’. This is very encouraging news for the stock and should give comfort to P2P loan investors as well.
The ability of peer lending platforms to compete with traditional lenders like banks is important to the prospects for the industry. As we have seen, the amount of peer to peer lending the U.S. has increased every year. Clearly, these lenders have been able to compete in the past. With no significant changes to the way any of these organizations operate, there is no reason to believe that the relative competiveness of Lending Club and Prosper will change. Therefore, continued growth should be expected.
There are two significant operating expenses to look at when comparing P2P lenders to banks. One is the overhead that banks have in terms of employees, marketing and physical locations. This adds costs to every transaction that the bank undertakes. Peer to peer lending platforms have significantly lower overhead costs which gives them a competitive advantage. On the other hand, banks likely have better techniques for evaluating the creditworthiness of borrowers. This means that they will likely have fewer defaults and therefore, higher profitability. It is hard to say what the net effect of these two factors will be, however, I am included to believe that lower overhead costs outweigh any competitive advantage that banks have with assessing borrowers.
So what is the outlook for prosper and lending club investing in 2019? Based on the factors analyzed here, it is clear that the future looks very promising for this industry as well as individual investors. Of course, every investor has a different strategy and experience so there will be success stories as well as unmet expectations. However, the overall experience should be positive as the industry continues to grow in 2019.