Be Safe, Fly Right, Wait For Recovery

Everyone is waiting. Watching. When is recovery coming? At first, the economy got “softer.” Then, it was all about waiting for “them” to identify it as a recession. Of course, the middle class was already feeling the pain. Soon after this period of time, there was talk about the “D” word. This has gone back and forth, and most economist are agreeing on the words “deepening recession” to describe what is happening now. Even Ben Bernanke says we luckily “dodged another depression.” So, the focus now is on waiting (again). This time we’re waiting to see when recovery will come.

Let’s examine the #1 way to dermine when the economy will begin to turn and start generating really positive news. Will it be when housing turns around? That will be helpful, but it won’t be the sure sign. Will it be when the banks are on “safer ground”? That will also be helpful, but we want to look to the most powerful indicator that times will get better. That powerful indicator is what drives about 70% of our U.S. economy: The consumer.

So, keep your eye on housing, look at the GDP, take a look at the stock market, look for keys in banking and the entire financial sector, but really watch consumer-confidence index. This blog works specifically to avoid politics, but consumer confidence is largely the job of the president and business leaders. They have a heavy task at hand in the coming months.

You can also watch credit for two (2) key factors:

1. When will credit flow most freely again?

2. Will consumers embrace it like they did after previous recessions?


Overall, families have to be watchful of what is happening with jobs locally. You must take in consideration that almost all experts say unemployment will rise perhaps as high as 12.5% before turning around.


You want to take this advice today: If you have savings, make sure you have ENOUGH. We recommend that you build an emergency savings fund of 15 to 18 months of expenses. This is because it will take longer to find a job to replace your income in this economy and it will likely be difficult going forward as well. The old ways have passed away. 3 to 6 months won’t cut it in today’s economic environment. Start building more savings now.


Do everything possible to cut your debt. Start with any credit card debt and pay the most on the highest interest credit cards to eliminate those debts (and interest payments).


Review your savings. Make sure your bank is FDIC insured. Do the same with CDs (some brokers will use tricks – including putting your CDs with banks outside of the country). Know where your money is and make sure it is safe.


If you don’t have 15 to 18 months of emergency fund savings, step up your savings. Don’t allow yourself to become overwhelmed if you don’t have it. Rome was not built in a day. If you still have a job, you can save. Check back on this blog to gain access to tips on saving and automatic savings tricks to quickly build savings without destroying your lifestyle. We provide you with a mix of strategies to save and grow wealth, and we hope you will share this blog with friends, family and those you care about today. You can also go to (our main blog) and sign up for our FREE monthly e-saver to save you thousands and share additional savings tips with you over the coming months.


The good news is that all recessions ABSOLUTELY turn around. Things improve. Jobs come back into play. This will be true after this recession as it has been true again and again (including after the “Great Depression”)! You will see improvement in the U.S. economy and around the world.

The serious key for you and your family is to put yourself and your family on as safe of footing as you can. This means “Cash is king.” Savings.


The first thing you want to see is a return of confidence. However, you should also see this time (right now) as an opportunity for you to review what you are doing and begin a new life with saving and building wealth. You can do it.

Thank you.

Loyd Ford


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