123ArticleOnline Logo
Welcome to 123ArticleOnline.com!
ALL >> Investing---Finance >> View Article

What To Avoid During Recession

Profile Picture
By Author: Fayeem
Total Articles: 100
Comment this article
Facebook ShareTwitter ShareGoogle+ ShareTwitter Share

Recession in the economy hits everyone in terms of finances. Loans, and banks are hit, interest rates are impacted and property too becomes sluggish. The inflow and outflow of money is reduced considerably. This also leads to many issues with small and big businesses, influencing the Business Loan in Delhi and the entire financial sector. Let us see how these financial risks can be taken care of and what must be avoided during recession.

1. Save your job: Finances are the most important aspect of one's life. A good planning regarding job is a must. While one is working it is important to invest alternately so that when you do not have a job you are still sustainable. It is equally important to take your existing job seriously as during recession job security is what you need.

2. Debt: When the economy is up scaling any kind of debt is profitable when paid back on time. But during recession it is important that car loans, low interest home loans or even loan against property are avoided. As the income becomes inconsistent it is important that a judicious decision be taken in terms of debt.

3. Investing cautiously: Recession is not a great time to take risky bets. Making investments during normal economic conditions is fine; however during recession every investment done has unpredictable results. This leads to low returns in the investments, hence, one must invest very cautiously during such a slow down.

4. Mortgaging: In cases when you are sure that a fixed income will be generated from your business, in such a case if you are need of money, you may mortgage your property and take loans. The low interest home loans, along with low monthly EMI can be managed. But this too should be done when you are sure of a certain amount of money that you can earn from business or job.

5. Becoming a guarantor: When you become a witness or a guarantor for loans taken by someone else, it is a rather risky scenario during an economic slowdown. When the borrower defaults a payment and does that more than, the guarantor is the one looked upon for completion of payments. This holds true for Business Loan in Delhi, Personal Loans, and almost all kind of loans that require a guarantor.

Total Views: 25Word Count: 384See All articles From Author

Add Comment

Investing / Finance Articles

1. Loan Approval Guidelines - What You Have To Focus On
Author: Fayeem

2. How To Make Sure Your Home Loan Won't Be Rejected
Author: Fayeem

3. Role Of Investment Banks In Esg Funds In India
Author: Avendus

4. 9 Innovative Strategies To Improve Your Medical Revenue Cycle Management Practices
Author: MAPLE SOFTWARE

5. Finding The Best Commodity Options To Invest In – Things To Consider
Author: Maithili Pawar

6. Opening A Day Trading Account From Home – The Steps You Need To Follow
Author: Maithili Pawar

7. Intra-day Trading Made Easy – Pick The Right Stocks By Following These 4 Strategies
Author: Maithili Pawar

8. Similarities And Differences Between Futures And Options Contracts
Author: Maithili Pawar

9. Things You Need To Keep In Your Mind When Choosing Music Insurance Company
Author: Dan Schoenfeld

10. Buying Your Dream Home On A Loan - Tips And Tricks
Author: Fayeem

11. Equity Fund Investments – A Detailed Guide
Author: Shashank Bhaskar

12. Basics Of Home Loans You Should Know Now
Author: Fayeem

13. Hiring An Asset Management Company In India
Author: Avendus Group

14. What Is Derivatives Market
Author: AtishPatil

15. Why A Personal Loan Can Be Beneficial For Your Home Remodeling
Author: Diksha Sharma

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: