A variety of financial assistance programs can help single-parent families stay afloat.

Managing a budget is never easy when you have only one income earner. Combine this with the sole responsibility to house, feed, clothe, and educate one or more children.

This combination causes many single mothers to experience an occasional monetary crisis. The way that she handles each predicament determines whether she falls hopelessly into debt.

  • Temporary band-aids for dealing with emergency cash crunches
  • Long-term answers for piles of unpaid credit card debts

Emergency Financial Assistance Single Mothers

Emergency financial assistance programs can help single mothers during a crisis. Fast action can access the monetary help that you need to stay afloat. On the other hand, hasty steps can cause greater problems in the future.

Therefore, weigh all your options when your needs are urgent. Consider the pros and cons of quick cash and federal government help with medical expenses.

Emergency Cash

Single moms frequently need emergency cash to deal with everyday expenses. Having only one source of income makes it more difficult to maintain adequate savings.

A quick infusion of cash can make it easier to stay current on rent, utilities, and other ongoing expenses. Loans offer wider acceptance, while government benefits for the unemployed are far more affordable – if you qualify.

Emergency Loans

Request a loan for emergency cash here. Single mothers with an ongoing income stream can get quick access to a network of specialty online lenders by completing the online form. A broad network of non-prime lenders improves your odds of an approval.

Input your bank account number and routing number to enable the company to deposit funds directly into your account. No waiting for a paper check to arrive in the mail. If approved, you could have access to your money in time to deal with your crisis.

Be careful to read the disclosures carefully. Short-term loans have modest fees. However, the balances can double in size if you roll them over often enough. Have a plan to repay the obligation if full as soon as possible.

Unemployed Mothers

Unemployed single mothers qualify for emergency cash loans less frequently. Solo moms without a job will have to demonstrate some form regular inflow of money in order to repay the lender. These three income sources may help the cause.

  1. Child support payments
  2. Alimony payments
  3. Unemployment benefits

Eligibility for unemployment compensation varies by the state where you live. Many solo moms must quit work to care for a sick child and other reasons. Learn the rules in your state and file a claim for state government benefits if you meet the criteria.

  • Universal requirements in all 50 states
    • Physically able to work
    • Available for duty
    • Actively seeking a new job
  • Good cause reasons for quitting in 22 states
    • Victim of domestic violence
    • Care of a sick family member
  • Good cause reason to quit in 6 states
    • Health condition of the worker

Taking out a personal loan as an unmarried parent using unemployment benefits can result in an approval. Keep the requested amount very small. Expect a very short repayment term as the state government benefit is always temporary.

Federal Government

The federal government provides several forms of emergency cash assistance for single parents dealing with medical problems. Divorce is an unfortunate side effect when a mother, father, or child has a chronic health problem.

Disabled unmarried moms and dads or those with a disabled child must take advantage of these programs.

  • Medicaid is a federal government health care program aimed at low-income households. Medicaid often will reimburse up to 3 months of medical expenses retroactively for new enrollees. Pregnant women have the highest priority.
  • The federal government provides premium subsidy assistance for individual health insurance plans. People, who earn too much to qualify for Medicaid, may still qualify for this form of financial help.
  • Flexible spending accounts offer immediate cash assistance for any enrolled worker who incurs a qualified medical expense. Federal government rules require employers to reimburse eligible charges immediately – even if the employee has not funded the amount.

Single Parent Help with Debt Burdens

Single mothers frequently fall seriously into debt and need help managing finances. One income often falls short – especially when a solo mom has childcare responsibilities. It is difficult to work enough hours to meet every need.

The three alternative worth exploring before bankruptcy are debt settlement programs, consolidation loans, and forgiveness options for those with student loan obligations.

 

Debt Consolidation

Debt consolidation loans are often difficult to obtain for single parents. Debt consolidation is effective when you can lower your monthly payment. You can lower monthly payments in three possible ways.

  1. Drop the interest rate
  2. Lengthen the repayment terms
  3. Both lower rates and longer terms

Lenders will approve requests for lower rates or longer terms for applicants with a good credit score and sufficient income to cover the projected monthly payment for the combined loan.

One-parent families rarely perform well enough on both metrics. Either their credit history is very poor or one income is not enough to support the projected monthly payment.

Debt Relief

Single mothers drowning in credit card debt often find that a settlement program offers the most realistic help. A settlement program can actually reduce the amount of money you must repay. A third-party company will negotiate on your behalf.

Solo moms often meet the two primary eligibility criteria.

  1. Owe more than $10,000 in unsecured obligations. This includes credit card balances, unpaid medical bills, and personal loans.
  2. Be behind on monthly payments. Lenders may agree to forgive a portion of the money owed when they risk getting nothing.

A third-party company will combine monthly payments into an escrow account. Your money goes into this account instead of to your lenders. Once you have accumulated enough money, the company will reach out to your lenders to make a settlement offer.

Student Loans

Single mothers and fathers may qualify for student loan debt forgiveness, which cancels or discharges a portion of the amount that you owe. The criteria have nothing to do with your marital status – unless you are a widow or widower.

  • The school closed while enrolled or shortly after
  • Totally and permanently disabled
  • Deceased – you are not responsible for spouse’s debt
  • Discharge in bankruptcy – very difficult
  • Loan documents were falsely certified
  • Unpaid refund from college
  • Teacher in a low-income school
  • Employed in certain public service
  • Defrauded or mislead by school
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