Since there have been more natural disasters that leave people unable to work, it's important to get ready now for what could happen in the future. The best way to keep your finances from getting really messed up after a disaster is to automate important tasks that you currently do on paper. Since tornado season is from April to June, hurricane and typhoon season is from June to November, and earthquakes can happen at any time of the year, there is no better time than now to make sure you can get to your money and personal documents in an emergency. Here are five things you can do right now to get ready for the next big storm:
Sign up to have your paycheck or Social Security benefit sent directly to your bank account. One of the worst things that happened after Hurricane Katrina was that people who were paid by check couldn't get their money. On the other hand, people who got their money through Direct Deposit were always paid on time. If your employer doesn't offer Direct Deposit, send them to the business section of www.electronicpayments.org so they can see how it can help not only the employees but also the company's bottom line.
Think about online banking so you can still get to your account records if your paper records are lost or if you can't get to your bank branch. After a natural disaster, phone lines, cell towers, and businesses could be out of service for months. However, you will still be able to access your bank accounts online almost as if nothing happened.
Make sure that your insurance premiums, car payments, mortgage, and other important bills are paid automatically, even if you can't get to your mail or chequebook. Sign up for Direct Payment with your billers. Your bills are paid automatically each month, so you know you will have insurance when you need it and that your car and house payments will be up to date.
Make copies of everything in your wallet, scan the copies into your computer, and save them on a disc. Keep the disc with your other supplies for being ready. This will save you if your wallet and financial records are lost or stolen. It only takes 15 minutes. Keep a paper copy of these records in a safe place, like a bank vault, in case the power goes out. If you need to cancel your credit cards, show proof of who you are, or get insurance, you must have this information.
Get an ATM card or a Checkcard, even if you only plan to use it in an emergency. Cash is king at some stores during a disaster, at least in the short term. If you need things right away, you will want to be able to get cash from an ATM. In the days after a disaster, it can be hard to cash a check or find stores with working credit card systems.