Thursday, September 29, 2022

How To Pay Rent When Unemployed

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Dont Overlook The Importance Of Unemployment Benefits For Renters

Newly Unemployed Now Worry How to Pay the Rent

In just over a month, 22 million people have filed unemployment claims. In this short time, unemployment has skyrocketed, and renters are disproportionately affected.

Our analysis shows that renters, particularly low-income renters in the labor force, tend to be heavily concentrated in the five vulnerable industries where the layoffs were the largest: accommodation and food service construction arts, entertainment, and recreation other services such as hairdressers, dry cleaners, and those that do repairs and retail trade.

There has been much debate about how renters will pay their rents and the need for rental assistance, specifically how much is needed and how it should be delivered.

Most delivery mechanisms have focused on existing programs within the US Department of Housing and Urban Development and US Department of the Treasury that provide direct rental assistance to tenants or assistance on the back end to landlords. The Coronavirus Aid, Relief, and Economic Security Act and a patchwork of state and local rules provide eviction protection for renters, but they will still owe rent.

The CARES Act provided about $12 billion in funding for housing assistance and to meet the needs of people who are currently homeless, but it will not be enough. Another way to help renters is to provide income, and thus far, the major measures to help renters during this economic crisis have been through temporarily supplementing lost income.

Not everyone can access UI

Other Changes That Might Affect Housing Benefit

Your entitlement to Housing Benefit could change if:

  • your Disability Living Allowance or Personal Independence Payment stops, starts or changes
  • you received benefit as a student and your course finishes

If there is a change in your circumstances, the Housing Executive might:

  • change the amount of Housing Benefit they pay
  • stop paying your Housing Benefit

Become A Digital Marketer

If youre struggling to find ways to pay rent within this digital economy, then Id highly recommend becoming a digital marketer.

As we continue to make our way through 2020, everything continues to go digital.

Therefore, what a better time to enter the digital marketing world than right now?

As a digital marketer, youll learn how to create digital products and learn how to market them online.

Furthermore, youll also learn how to build out a few digital assets thatll make your job as a marketer so much easier.

Digital marketing isnt much different from traditional marketing.

The main difference is that instead of marketing physical products, youll focus on digital products.

For example, Clickbank is a digital marketplace that specializes in digital products only.

Therefore, you could promote products/ services offered on this platform to test the waters before committing.

For more info on becoming a digital marketer, check out this post for more details.

Also Check: Applying For Unemployment Tennessee

Student Loan Debt Forgiveness

For recently unemployed people, they surely have the biggest burdens. One of the burdens is the loan debt they have to pay. Now, they have no income. Therefore, you have to focus on two things, the first is to find the cash assistance for unemployed. The second is to make sure that you are participating in student loan debt forgiveness. By doing this way, you should not worry to get bankrupt just to try to keep up with all payments when you are unemployed.

Make sure that you are qualified to get some kinds of student loan debt forgiveness. It does not take your time to check if you qualify, does not it? Therefore, it is easier for you to focus on finding income to deal with your debt.

Just because you have lost your job, the bills stop to come. You have many burdens that make you overwhelmed, especially with all the responsibilities. Therefore, you must calm down yourself. There are some programs to join. The programs are valuable to get cash and resources to keep your things well managed. Below, there are some programs you can try to get a help.

How To Get Emergency Cash Assistance For Unemployed

What to Do If a Tenant Can

If you need some temporary funding, make sure that you can qualify for the emergency cash assistance for unemployed. Find all things in yourself to make you eligible. Never look down just because you are a single parent, a person with a disability, a veteran, or other things that can meet the requirements. In fact, there are many types of the unemployment assistance programs available for the specific needs.

Your state government website is the valuable source to get some information about the emergency cash assistance for unemployed program you may qualify, therefore you have to check it. Get assistance to cover bills, rent, and other.

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State And Federal Unemployment Assistance

Laidoff workers may be eligible for unemployment income. The amount of unemployment income youre eligible to receive varies by state.

Visit your state governments website to see what unemployment assistance is available where you are. You can find contact information for your state government and agencies here.

In addition, the recentlypassed American Rescue Plan renews federal unemployment assistance .

Those who collect state unemployment assistance may also be eligible for an additional $300 per week in federal unemployment income, thanks to the new stimulus bill. This will be available until September 6, 2021.

Stimulus checks

The American Rescue Plan also includes direct payments of up to $1,400 for individuals with an adjusted gross income of $75,000 or less and couples with an AGI of $150,000 or less.

Families will receive an additional stimulus check of up to $1,400 for each qualified dependent.

How To Get Rental & Utility Assistance If Unemployed

Public and private organizations are available to help people struggling to pay for rent and utilities because of unemployment. The level of support available can vary, but don’t expect an organization to step in and start making direct payments to your landlord or utility company. You are more likely to be offered short-term assistance with your utility bill or alternate housing if you simply no longer can afford your apartment and are on the verge of homelessness.

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Unemployed Renters Ride The Uncertain Tide Of Fluctuating Aid

Renters are more likely than homeowners to work in industries the pandemic has hit hardest. So, as a whole, they have been especially vulnerable to the ups and downs of unemployment benefits.

For people who lost work during the pandemic, life is one big uncertainty. Some jobless Philadelphians have gone from receiving hundreds of dollars a week in unemployment benefits to less than $50 without understanding why, said Andrew Lee, an organizer with the nonprofit Philadelphia Unemployment Project.

You can imagine how stressful it is for households with unemployed family members trying to budget for necessities like rent or heat or food, when they dont know how much money will be coming in from week to week, he said.

Renters are more likely than homeowners to work in industries that the pandemic has hit hardest. So, as a whole, they have been especially vulnerable to variations in unemployment benefits, their primary income. One source of that variation has been the ups and downs in supplemental payments from the federal government. The share of peoples income that has had to go toward housing at the expense of other essentials also has fluctuated with these payments.

When the $600 federal unemployment payments stopped at the end of July and $300 payments replaced them, the rent burden on Philadelphia-area households increased. Unemployed renters in the region were spending roughly 43% of that income on rent.

How Much Does Unemployment Usually Get

Help paying rent and mortgage if sick, underemployed, or unemployed

Benefits vary widely by state. According to SavingtoInvest.com, the highest maximum weekly benefit amount is in Massachusetts at $823 for individuals to $1,234 for families. On the low end, Puerto Ricos maximum weekly amount is $190, with Mississippi a close second at $235. Most states administer benefits for a maximum of 26 weeks . Whether or not your applicant meets your propertys income requirements depends on what state you live in, the applicants unemployment allowance, and your vacancys rent price.

The multifamily housing industry often feels the ripples of economic change in a direct way. Move outs, unpaid rent, late notices, subletters or roommates, and even evictions can have unintended consequences to long-term unemployment. With most businesses shuttered, many renters are facing financial insecurity due to the coronavirus pandemic.

As of this writing, over 36 million Americans have filed for unemployment benefits since mid-March, and Goldman Sachs predicts the unemployment rate could sour to 25% this year. While many are hoping to recover faster, letting mom and pops finally open for business, we should do what we in the industry do best prepare for the long-term effects and hope for the best.

Now and within the next year, its likely that youll see more rental applicants collecting unemployment benefits, and its important to know what to do next.

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Additional Payments Could Ease The Burden

Earlier this summer, Congress passed the CARES Act in an attempt to ease Americans financial pain. The relief package included a nationwide moratorium on evictions through late July, an additional $600 in weekly unemployment benefit for those collecting UI that expired at the end of July 2020, and a one-time stimulus check for most Americans.

While many of these federal benefits have expired, many states are providing additional relief by applying for an additional $300 a week in unemployment benefits through the Federal Emergency Management Agency .

However, only people who already receive at least $100 in unemployment benefits qualify for the additional $300, as required by President Trumps executive memorandum. Whats more, Some states are still in the process of applying for the FEMA benefit and some states have decided not to apply, so residents of those states will not receive the additional benefits.

How Tenants Qualify For Housing Benefit

You can claim Housing Benefit if you’re employed or unemployed. To be eligible for Housing Benefit, you must be liable for paying rent or rates on a property you live in as your main home.

To decide how much Housing Benefit you’re entitled to, the Housing Executive compares your income with the amount the government says you need.

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What To Know Before Taking Out A Loan

Again, its easy to make poor, impulsive decisions when youre desperate. When many consumers cant make ends meet, they turn to payday loans as a quick fix.

It sounds good in theoryyou take out a small loan to help you stay afloat until your next payday, when you pay it back. Unfortunately, it usually doesnt work out this way. The majority of payday loan borrowers end up revolving their loan, using another loan to pay off the original one. Interest rates can be as high as 708 percent, leading consumers into a downward spiral of massive debt. Borrowers pay $7 billion annually in payday loan fees in the U.S. alone.

Before you fall into this trap, consider other options. Many credit unions offer special loans through The National Credit Union Foundations REAL Solutions® program. These loans are aimed at borrowers who dont earn much money. Some credit unions also have signature loans, aimed at borrowers with bad credit. While you still have to pay back the loan with interest, the terms are much better than payday loans and designed to help you improve your finances. You can find specific credit union loans in the National Consumer Law Centers Payday Loan report .

Its not an easy situation to fix, but it helps to know all of the options available. This way, you can make the best decision possible and keep a desperate situation from getting worse.

Coronavirus Mortgage Relief Programs

Newly unemployed now worry how to pay rent

The type of mortgage relief you may be eligible for depends on your loan type and which bank or agency owns your mortgage.

Here are the relief programs currently available for the four major loan programs: conventional, FHA, VA, and USDA.

Mortgage relief for conventional loans

Fannie Mae and Freddie Mac were the first to unveil relief programs for those affected by the coronavirus.

Many homeowners dont realize their mortgages are owned by Fannie or Freddie. You may not have noticed that one of them bought your loan after you closed. But you can easily find out using the lookup tool that each of them provides:

Be sure to use both tools. Either agency could own your mortgage as they own the majority of U.S. home loans.

Providing you agree with your lender on an assistance package, you could be in line for:

  • Mortgage forbearance for up to 15 months
  • Penalties and late fees waived on issues covered by your forbearance agreement
  • No reporting to credit bureaus about late or missing loan payments
  • Loan modifications that could allow you the same or lower monthly payments when things return to normal

Under the CARES Act, homeowners do not have to prove theyre in financial distress in order to get mortgage relief. That means no extensive documentation.

Homeowners simply have to claim theyre going through financial hardship by sending in a hardship letter saying theyve been affected by COVID19.

Mortgage relief for governmentbacked loans

  • FHA loans
  • VA loans
  • USDA loans

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How Do I Get Emergency Money For Rent

Consumers have several resources available to them to keep their homes during emergency situations whether its a loan or assistance from one of the government-run or private charitable institutions listed above.

The path you take to finding emergency funding should depend upon your financial circumstances and the reason for your current need.

Be sure to assess your long-term financial needs when exploring loans and rent assistance program.

If a one-time unexpected bill throws off your budget for the month, then a loan would likely be your best resource for getting back on track. Several lenders are willing to work with consumers who have bad or damaged credit profiles to quickly get them the money they need as long as consumers can afford to repay the loan and its associated interest.

However, if you continually struggle to pay rent and utilities, and the issue doesnt seem to get better month after month, then you may be better served by researching agencies that work to help consumers receive rental assistance or government vouchers that pay for all or part of your monthly rent and utility bills.

Thats because, if you have an ongoing issue, a loan will only add to your monthly bills. It will cover one months rent, but still leave you with the same issue when the bill is due the following month.

Employment And Rent Supplement

You will not qualify for Rent Supplement if you are infull-time employment – defined as 30 hours or more a week. Claims from self-employed people are assessed on theindividual circumstances of the case and you may be asked to show that you areworking less than 30 hours a week. If you are working over 30 hours a week inemployment or self-employment, or if you are getting the Back to WorkEnterprise Allowance, you can only continue to get Rent Supplement if yourlocal authority considers that you eligible for the RentalAccommodation Scheme .

For applicants who apply on or after 13 March 2020, you canqualify for Rent Supplement if you or your partner are working more than 30hours per week and you have had a reduction in your income from work due to theCOVID-19 public health emergency see COVID-19 and Rent Supplement above.

You will be reassessed for Rent Supplement and some of your additionalincome including some of your income from employment will be taken intoaccount. As a result of the reassessment you may or may not continue to qualifyfor Rent Supplement. If you do qualify for Rent Supplement you may get adifferent rate of Supplement.

If you start work , you must notify theDepartment of Social Protection to avoid any overpayment of RentSupplement.

Recommended Reading: Tn Unemployment Benefits Application

Your Rent Is Higher Than Your Housing Benefit

Your Housing Benefit might be less than the rent you pay your landlord. The Housing Executive might decide your rent charge is too high. This can happen with private rented tenancies.

If you’re under 35 and live alone in private rented housing, your Housing Benefit award might be reduced. This age condition doesn’t affect tenants in Housing Executive or housing association accommodation.

Become An Instagram Influencer

Unemployed tenants struggle to pay rent in high-cost cities

Is building a website, not your thing?

Thats cool perhaps youd rather become the next Instagram Influencer instead.

If youre searching for different ways to pay the rent, then this next venture may be right up your alley.

As technology continues to evolve, social media remains one of the best ways to make money online in 2020.

Furthermore, learning how to isnt at all complicated, nor does it require any skill.

Youll need an Instagram account to get started as well as a smartphone thats capable of installing multiple applications, recording videos, and taking pictures.

Besides that, youll need to decide upon a niche and base your content around this niche.

For example, you could start an Instagram about surfing.

You would then need to attract followers who are also interested in surfing.

Once you have plenty of followers, youll get contacted by big brands that will pay you to promote their products to your audience.

Does this sound like something youd be interested in doing?

Learn more about how to become an !!

Also Check: Dol.nebraska.gov/uiconnect

Get Help Covering Rent Bills And More

While cash assistance for unemployed periods may sound like the simplest option, most programs are designed to help you with specific challenges. So if youâre worried about not being able to pay the rent and bills on time while youâre unemployed, there are assistance programs just for that!

Here are two great collections of resources to help get you started on finding financial help with paying your biggest expenses.

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