During the pandemic, businesses were closed and many people were laid off from their jobs. If you incurred debt in order to pay for necessities such as food and medical costs, you may now be wondering how to get out from under those bills. Here are some ways to handle debt incurred during the pandemic.

1. If You Ran Up Credit Card Debt

Rack up too many credit card debts, and you’ll soon owe more in interest than you do the original debt. Contact a company like Priority Plus Financial for loan consolidation. That way, the lender pays off all of your debts and you repay that lender with one bill instead of several and usually at a lower rate of interest. It gives you peace of mind and often improves your credit rating.

2. If You Owe Money to the Utility Companies

Depending on what state you live in, the utility company may not be allowed to shut off your utilities. Go online and visit the Energy and Policy Institute to learn if your utility company will disconnect your power in your state if you fail to pay your bills.

If your utility company will shut off your power, make it a point to pay your utility bills first. Contact your utility company and see if you can negotiate a payment plan.

3. If You’re Behind on Paying Your Taxes

If you’re behind on paying your property taxes, contact the treasurer’s office in your county to see if you have protection under COVID-19 restrictions. The county treasurer’s office may be able to foreclose on your property, and it may not. Look online to find out for sure.

4. If You Don’t Have Money To Pay Your Mortgage

As soon as you realize you won’t be able to make your mortgage payment, call your lender. Explain your financial situation and see if you can negotiate lower payments or waive the interest for a few months. If you have a mortgage backed by the federal government, see if you qualify for a forbearance agreement. Under such an agreement, your payments might be suspended for a few months.

This is no time to be proud or hide your head in the sand.  The sooner you act, the more likely lenders will work with you and help you get out of debt. Think about taking on an extra part-time job to help with the bills until you are debt-free.