If you are facing financial hardship due to the coronavirus pandemic or any other unforeseen circumstances, it’s a good idea to inquire about financial hardship programs that may be available from your lenders and creditors, including credit card companies like American Express. These programs are designed to provide temporary relief and assistance to individuals who are struggling with their finances. Here are steps you can take to inquire about and potentially enroll in such programs:

Contact Your Lenders and Creditors:

   – Begin by reaching out to your lenders and creditors directly. You can usually find their contact information on their websites or on your billing statements.

Prepare Information:

   – Before contacting them, gather information about your financial situation, including details about your income, expenses, and the specific challenges you are facing. Having this information ready will be helpful during the conversation.

Ask About Hardship Programs:

   – When speaking with a representative from your lender or creditor, inquire about any financial hardship programs they may offer. Explain your situation and express your need for temporary assistance.

Understand Program Options:

   – Lenders and creditors may offer various types of hardship programs, such as forbearance, deferment, or modified payment plans. Ask for details about how these programs work and how they can benefit you.

Request Program Details in Writing:

   – If you are offered a hardship program, request the program details in writing. This should include the terms, duration, and any changes to your account. Having written documentation is important for your records.

Review Terms Carefully:

   – Before agreeing to any program, carefully review the terms and conditions to ensure you understand how the program will impact your finances and credit. Ask questions if anything is unclear.

Maintain Communication:

   – If you enroll in a hardship program, maintain regular communication with your lender or creditor. Keep them informed of any changes in your financial situation and adhere to the terms of the program.

Document Everything:

   – Keep records of all communication with your lender or creditor, including notes from phone calls, emails, and written correspondence. This documentation can be useful if any disputes or issues arise later.

Stay Informed:

   – Stay informed about any updates or changes to the hardship program, especially regarding its end date. Be prepared to resume regular payments once the program ends.

Seek Professional Advice:

    – If you encounter difficulties or have complex financial challenges, consider seeking advice from a financial counselor or advisor who can help you navigate your options and make informed decisions.

Remember that financial hardship programs are typically designed to provide temporary relief, so it’s essential to have a plan for getting back on track financially once the program ends. Additionally, while participating in a hardship program may not have an immediate negative impact on your credit score, it’s essential to understand how it may be reported to credit bureaus and how it can affect your credit in the long term.