When a disaster of any type occurs, the physical and psychological toll on individuals is devastating.  What few people understand is that a financial disaster often has many of the same devastating effects as other disasters.  The first step in recovering from a financial disaster, whatever the cause, is to acknowledge the pain caused by the situation. Once you accept the situation, you can begin to find ways to deal with your personal finances such as examining your balance sheet, finding ways to reduce expenses and creating an emergency fund in case of future problems.

For more about this read, “When Financial Disaster Hits Home.”