Need financial help after a natural disaster: what to do?

After a natural disaster, your immediate safety comes first. Once you and your family are safe, you may face financial challenges such as home repairs, temporary housing, and lost income. This guide outlines practical steps to get financial help and manage your finances during recovery.

What to Do First

1. Document the damage. Take clear photos and videos of all damage to your home, vehicles, and belongings. Keep receipts for any emergency expenses. This documentation is essential for insurance claims and assistance applications.
2. Contact your insurance company. File a claim as soon as possible. Ask about temporary housing coverage, additional living expenses, and advance payments. Keep a record of all communications.
3. Apply for government assistance. If the president has declared a major disaster for your area, you may be eligible for FEMA assistance. Apply online at DisasterAssistance.gov or by phone at 1-800-621-3362. FEMA may provide grants for temporary housing, home repairs, and other needs.
4. Look into SBA disaster loans. The U.S. Small Business Administration offers low-interest loans to homeowners, renters, and businesses for disaster losses. These are loans, not grants, so consider your ability to repay.
5. Seek help from charities. Organizations like the American Red Cross, Salvation Army, and local community groups often provide emergency funds, supplies, and shelter. Contact them directly or call 2-1-1 for referrals.

Managing Your Finances

• Request payment relief. Contact your mortgage servicer, landlord, utility companies, and credit card issuers. Many have disaster relief programs that offer deferred payments or waived fees. Ask specifically about forbearance or hardship plans.
• Create a budget. Prioritize essential expenses like food, shelter, and medicine. Cut non-essential spending. Use any emergency savings carefully.
• Monitor your credit. Check your credit reports for free at AnnualCreditReport.com. Watch for unauthorized activity, as disasters can lead to identity theft.
• Avoid scams. Be wary of unsolicited offers for disaster relief, fake charities, and contractors demanding large upfront payments. Verify charities through sites like Charity Navigator or the Better Business Bureau. Never pay in full before work is done.

When to Seek Professional Help

If you are struggling with debt, facing foreclosure, or feeling overwhelmed, consider contacting a nonprofit credit counseling agency. They can help you create a plan and negotiate with creditors. Also, reach out to local social services for food assistance, Medicaid, and other benefits.

How to Prevent Future Financial Hardship

• Build an emergency fund with three to six months of expenses.
• Review your insurance coverage regularly, including flood and earthquake insurance if applicable.
• Keep important documents in a safe, waterproof place or digitally backed up.

Recovery takes time. Take things one step at a time and ask for help when needed. For more information, visit DisasterAssistance.gov or call 2-1-1.