There may comes a time when you hit a difficult period, and the fact may be you can pay some bills and expenses but not all of them. This is when setting spending priorities is key. In a perfect world you will continue to pay some bills during a hardship, while you continue to work towards a longer term solution and getting back on your feet.
1. Food and any essential medical bills and expenses need to be your first priority to pay. However the essential medical bills will be more of the life saving type. If there are some nonessential medical bills, such as dental or general check ups, those can be put off. Many secondary doctors, dentists, and hospitals are not as aggressive in trying to collect unpaid medical bills and debts.
2. Pay housing and shelter related bills.
An unsecured debt is a low priority. Most credit card debts, attorney bills, as well as any other bills to professionals are low priorities. Also low priority are open accounts with merchants (such as a store credit cards) and similar debts. Since you did not pledge any collateral for those bills and loans, and there is also rarely anything that those creditors can do to hurt you, these are lower priority and should be put to the bottom of the list. Many of those people and companies will not bother to try to collect in the long term.
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