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Survival Plan for Maintaining Financial Stability During Government Shutdown

National Foundation for Credit Counseling encourages consumers to take action

Washington, DC – The government shutdown is now in place, and along with it came a good amount of uncertainty, causing many Americans to wonder how they will survive financially.  By some estimates, hundreds of thousands of federal employees will work without pay until the shutdown ends, while others may be furloughed indefinitely.

Some workers are not adequately prepared to deal with a loss of income, even a short-term one.  For those living from paycheck to paycheck or without significant savings, any income interruption is likely to put them over the financial edge and negatively impact credit.

For example, consider the statistics below from the 2013 National Foundation for Credit Counseling (NFCC) Financial Literacy Survey:

·         Thirty-three percent of respondents admit to not paying all bills on time;

·         Thirty-nine percent have zero non-retirement savings;

·         Thirty-nine percent carry debt over from month to month, and

·         Sixteen percent have utilized overdraft protection in the last 12 months.

“The government shutdown should be a wake-up call for everyone, as very few have absolute job security,” said Gail Cunningham, spokesperson for the NFCC.  “Whether due to an unplanned expense or a job loss, no one has ever regretted being financially prepared, and preparation starts with understanding where you stand today.”

The NFCC advises consumers to take the following steps to put themselves in a better financial position, regardless of what the coming months may hold:

  • Assess the current financial situation – The NFCC’s new Sharpen Your Financial Focus™ program is the ideal place to start.  The program consists of the following three steps, with the consumer free to start with whichever best meets his or her financial needs. Consumers can access the program by visiting
  • MyMoneyCheckUp™, MMCU, is the NFCC’s free online financial self-assessment tool, providing consumers with a means of evaluating four key areas of personal finance: budgeting and credit management, saving and investing, planning for retirement, and home equity.  After answering a series of topic specific questions, a personalized assessment of the individual’s overall financial health and associated behaviors is generated. With areas of concern identified, the analysis suggests changes that consumers are encouraged to implement in order to become more financially independent. The tool is available in English or Spanish.
  • A one-on-one financial review with an NFCC Certified Financial Professional to find solutions to any immediate concerns, and address long-term financial stability.
  • A financial workshop providing a deeper understanding of topics of specific interest to them.
  • Face the financial facts – After completing the financial discovery step in MMCU, consumers may find the results surprising.  Don’t ignore them.  Financial problems rarely resolve themselves, particularly in emergency situations.  Take action sooner rather than later, as delaying only makes the problem harder to resolve. 
  • Take control – Admittedly, some things are beyond a person’s financial control, but some aren’t.  Control what you can by doing the following:
  • Review the credit report and score, both necessary to fully understand the current financial situation, and provide a framework for next steps.
  • Create a cash-flow calendar listing all sources of income.  Next, plug in the dates all bills are due.  This will ensure that bills are paid on time and protect the credit report and score from future damage.
  • Commit to paying down debt, and if necessary, suspend all charging, consistently moving toward solid financial ground.
  • Reach out to a legitimate credit counseling agency for help creating a survival plan.

“If there is a quick resolution to the shutdown, nothing has been lost by implementing the above steps,” continued Cunningham.  “If not, consumers will be better prepared to face whatever comes their way financially.”

For help navigating the financial strains brought on by the government shutdown, visit where financial survival tools can be found.  To be automatically connected to a credit counselor and participate in the Sharpen Your Financial Focus program, dial 1-888-282-5811. 

The National Foundation for Credit Counseling (NFCC), founded in 1951, is the nation’s largest and longest serving national nonprofit credit counseling organization. The NFCC’s mission is to promote the national agenda for financially responsible behavior, and build capacity for its members to deliver the highest-quality financial education and counseling services. NFCC Members annually help millions of consumers through more than 600 community-based offices nationwide. For free and affordable confidential advice through a reputable NFCC Member, call (800) 388-2227, (en Español (800) 682-9832) or visit  Visit us on Facebook:, on Twitter:, on YouTube: and our blog:

Published Oct 4, 2013.