7 ways a recession could be good for you financially
Michelle Singletary - WaPo | Sep 28In his first inaugural address in March 1933, President Franklin D. Roosevelt said: “So, first of all, let me assert my firm belief that the only thing we have to fear is fear itself.”
It was the Great Depression. The unemployment rate was over 25 percent. An estimated 12 million people were out of work, about one-fourth of the civilian labor force.
“More than 11,000 of 24,000 banks had failed, destroying the savings of depositors,” according to the National Archives.
Fast forward to now, and as bad as things are — rising interest rates, high inflation, stock market tumbling — the economy hasn’t imploded as it did during the Great Depression.
I have to say this because, as Roosevelt pointed out, fear itself can lead to actions that worsen your finances. While many people are hurting, there may be ways to cushion the downside.
Here are seven silver linings if we are heading into a recession.
1. Housing prices may finally come down to reasonable levels.
2. Savings rates are up.
3. I bonds inflation rate might go even higher.
4. The dollar is king.
5. Unemployment is still relatively low.
6. Your used car is worth more.
7. Student loan forgiveness is coming.
https://www.msn.com/en-us/money/markets/7-ways-a-recession-could-be-good-for-you-financially/ar-AA12lgAD