Rebuilding after a disaster or emergency can be a difficult challenge for people at every level of income. In these stressful situations, having easy access to your personal financial, insurance, medical, and other records is key to beginning the rebuilding process as quickly as possible. Taking the time now to collect and protect your critical documents will pay off in the future, giving you peace of mind and, in the event of an emergency, ensure you are ready to start rebuilding as soon as possible with all the necessary information.

Look over the following list and confirm you have taken all these steps to prepare for an emergency:

• Collect all financial and critical personal, household, and medical documents and maintain it in a secure location, readily accessible.
• Establish an emergency fund that can be accessed in times of crisis. This could mean keeping a small amount of cash at home in a secure place in case you can't get access to your bank accounts.
• Obtain property (homeowners or renters), health, and life insurance if you do not have them already. Review your policy to ensure you're covered in the event of all possible emergencies. For example: standard homeowners insurance often will not cover flooding, so you may need to purchase separate flood insurance from the National Flood Insurance Program.
• Make photo copies of all of your debit and credit cards and store them in a safe place so you have your account information at the ready in the event of an emergency.
• FEMA has an Emergency Financial First Aid Kit (EFFAK) with a wealth of information to help you prepare your emergency financial plan.

Emergency Financial First Aid Kit (EFFAK)

If there's anything we want you to take away from this article, it's how important it is to have a financial plan ready for an emergency. FEMA's Emergency Financial First Aid Kit (EFFAK) can help you prepare for surprises and reduce the financial impact of disasters that could otherwise hurt you, your family, or your business.

At Home

The EFFAK is an excellent guide to ensuring your personal financial preparedness, but you should also consider downloading a secure mobile app on your phone where you can store electronic copies of important documents for immediate access in the case of an emergency. You should also consider storing physical documents in a safe deposit box at your local financial institution if they offer those services.

The most important documents to have in an emergency are your financial and medical records which are critical to jump-start the recovery process. Take the time to make sure you have the following documents secured and accessible in the event of a disaster:

Household Identification

• Photo ID of all household residents
• Birth certificates
• Social Security card to apply for disaster assistance from FEMA
• Military service
• Pet ID tags

Financial and Legal Documentation

• Financial records and obligations
• Insurance policies
• Sources of income to maintain payments and credit
• Tax statements to provide contact information and apply for FEMA assistance

Medical Information

• Physician contact information in case medical care is needed
• Copies of health insurance information so care is not interrupted
• Immunization records
• Medication

Insurance Information

Purchasing insurance for your home or business property helps ensure you have the financial resources necessary to repair, rebuild, or replace whatever is damaged.

Household Contact Information

• Banking institutions
• Insurance agent
• Health professionals
• Service providers
• Place of worship

For Organizations

Businesses and other organizations are only as strong as their employees, which is why an employee or member's financial stress can have a ripple effect that could negatively impact your organization. You should encourage people throughout your organization or workplace to practice financial preparedness. Here are some ideas you can use to help promote emergency preparedness in your business or organization:

• Hold an informal lunch meeting to discuss financial preparedness.
• Organize a presentation for your next staff meeting.
• Include financial preparedness tips in your monthly staff newsletter.

Get Your Benefits Electronically

Disasters can disrupt mail service for days or even weeks at a time. If you rely on Social Security, pensions, or other regular benefits, you should consider switching to electronic payments to ensure your income is not interrupted by an emergency. This also eliminates the risk of checks being stolen from the mail. We recommend you consider these methods of payment instead of receiving physical mail:

• Set up direct deposit to your checking or savings account. Federal benefit recipients can sign up online or call (800) 333-1795.
• The Direct Express® prepaid debit card is designed as a safe and easy alternative to paper.

These tips and suggestions were taken from the Department of Homeland Security’s Financial Preparedness. You can learn more about how to prepare for disasters by visiting Ready.gov

As we say good-bye to the last decade and hello to 2020, it’s even more important to focus on planning for tomorrow. One of the best New Year’s resolutions you can make for yourself is to start establishing good credit habits and set financial wellness goals for yourself that will help you get back on the path to a prosperous financial future.

If personal finances are a house, then having good credit is the foundation. Whether your plan is to purchase a new home or start your own small business, you’ll need a loan to get there, and you won’t be able to get one without good credit!

Like anything in life, responsible credit practices are not something anyone is naturally good at. You have to work toward developing habits that demonstrate sound money management strategy. Remember; it’s much easier to build a credit score than repair a damaged one.

Enough introduction: what can you do to avoid costly missteps as you start on your journey to building and maintaining good credit?

• If you are just beginning to establish your credit history, open a checking account with your local community bank and make a habit out of keeping track of your balance. New Tripoli Bank has a free checking account to get you started and money management tools in our online banking platform.
• Instead of cash, use debit and credit cards for convenience and safety. However, make sure you don’t overspend! Missed or late payments can be damaging to your credit and will end up hurting your credit score.
• Try to maintain a varied mix of credit types (such as a revolving line of credit or an installment loan). Utilizing different types of credit shows your ability to manage your finances and will boost your credit score.
• Three to six months prior to making a major purchase, you should take extra care to demonstrate financial stability. Loan officers will feel more comfortable lending to you if you aren't opening and closing accounts or moving large amounts of money around, and avoiding these practices can mitigate stress after a large purchase.
• Build an emergency fund equal to at least six months of living expenses. That way, if the unexpected happens, you will still be able to pay fixed expenses without falling behind.
• As you reach different stages of life, you should alter your credit focus. Early in life you can take out loans on larger purchases such as automobiles and real estate, which will help you build credit, but as you near retirement you will want to make sure these major loans are paid down.
• Monitor your credit regularly to correct any errors and quickly detect signs of potential identity theft. Order a copy of your annual credit report from annualcreditreport.com. You can also sign up for credit monitoring services that will help protect your credit.

If you’re concerned about your credit or want help achieving financial milestones, you should contact your local community bank who is always ready to assist. Maintaining good spending and saving habits early can help you focus on your financial goals and make it easier for you to navigate life’s unexpected twists and turns.

The holidays are a time for spreading cheer and giving gifts to friends and loved ones. When you’re looking for the perfect gift this holiday season, it can be tempting to default to the internet. However, this holiday season, you should consider picking up a one-of-a-kind gift from your local small business instead.

“Why is that?” you might be asking. After all, the internet has made it easier than ever to find that popular new toy—the one that would have sold out in holidays past—and have it delivered to your home, not by Santa but by the postal service. However, it’s only slightly more difficult to drive to a local independent business to do your holiday shopping and, more importantly, buying a gift from a local small business is also a gift to your community.

Every dollar spent at independent businesses is money that stays in your community. Studies show that when you shop at smaller retailers, those business owners will spend that money locally as well, keeping the money in your community for longer. Small businesses are also the leading job creators in the United States, accounting for two out of every three new jobs created annually. That means your dollar ensures those small mom-n-pop stores will have the money to expand, modernize, and remain in business!

Perhaps you’re concerned about our impact on the environment. If so, you should absolutely choose to patronize independent local businesses, which typically consume less land, carry more locally-made products, and create less traffic and air pollution by not having to ship products over long distances.

However, the most important reason to commit to shopping locally this holiday is simple: the creations you find at small local shops are one-of-a-kind, unique gifts that you won’t find anywhere else, more memorable than whatever the hot new must-have toy or tech gadget is this year. Here’s an example: do you remember Tickle-Me-Elmo? You had probably forgotten about it after the year it was the hot toy for Christmas and hadn’t thought about it until I mentioned it just now. While these mass-produce products are fleeting, a hand-painted statue or a quilt with your family’s names on it will create a lasting memory your friends and family can enjoy.

Your “gift” doesn’t necessarily need to be a product. It could be an experience, like going to see a local band, taking your friends out to a fancy dining experience at a local family-run restaurant, or something as simple as a holiday event with family featuring food, drink, and entertainment bought from small independent businesses in your community.

Whatever your holiday plans are this year, it’s important you show your support for entrepreneurs and small businesses by using your dollar locally. We should all work to spread the holiday cheer and ensure our local business community can thrive!

Securing financing for your small business can feel like a monumental task. The daunting process of selecting a bank that will be right for your company and making an application, gathering the information to support the application and the interview process supporting the application can feel overwhelming. Not to mention after all of that, your loan may not be approved for the full amount, if at all!

Community banks help to remove the aggravation from this process through a friendlier, more personal and open-minded approach. Community banks are active participants in their communities through their contributions and their employees who live in the communities they serve. Community banks have skilled and well-trained employees who take a personal approach when dealing with business owners.

There are many advantages to applying for a loan through a community bank:

• Personalized Service – Many small businesses have unique needs that do not fit the “in the box” lending philosophy of larger banks. Community bankers take the time to make business owners feel welcome, rather than feeling like just an account number. In most cases, you will be working with the individual who will approve your loan instead of an unknown, out-of-state decision maker. Community banks were established to provide flexible financing catered to local business needs. You’re also likely to meet the executive management when applying for a small business loan through a community bank.
• Community Focus – Community banks rely on the health and growth of the communities they serve for their own success. Community banks support local organizations like Little Leagues, Scout Troops and food banks through contributions, employee volunteers and supporting the growth of local businesses. Some large commercial banks reject loans based on types of industries or loan size; community banks look to support all companies within the area they serve.
• Emphasizing Character – When assessing loan applications, community banks are more likely to consider the character of the business owner. The approval algorithms used by large banks cannot quantify character. Although financial results and collateral are the primary deciding factors for any bank, in many cases the assessment of character will be the deciding factor for community lenders.
• Flexible Lending – Community bankers seek to assist all businesses in their community while realizing that they cannot be “all things to all people.” Some large banks will not lend to certain industries or even consider loans that are too small. Business owners should not underestimate the lending power of the community bank, as many can provide loans in the five- to ten-million dollar range and provide technology-oriented products at competitive rates and nominal costs.
• Quick Turnaround – The lines of communication within a community bank are short and do not extend out-of-state. Community banks use rigorous underwriting, but their size allows for quick responses. The lender can focus on the request at hand rather than be out of the office selling the “product of the day” in order to make a bank dictated goal. At a community bank, the customer’s need is the only goal.

So you’ve heard the reasons why you should apply for your small business loan through a community bank and you’ve been convinced. Great! Now the question becomes: what do you need to do to prepare for a meeting with a commercial lender that will give you the best chance at being approved for a loan?

Like any good Boy Scout knows, before you apply for any small business loan you should “be prepared!” You should have the following:

• Two to three years of tax returns or financial statements
• The latest company-prepared interim financial statement
• A personal financial statement (listing personal assets and liabilities) for all of the owners of the company, as most small business loans will require the guarantee of the owners
• Be prepared to discuss the history and operation of the business
• Discuss why you need the loan and more importantly how the bank will be repaid

Having this information ready prior to the initial discussion allows the bank to make quick decisions and reduces the applicant’s aggravation.

Most banks large and small will have difficulty financing restaurants and start-up businesses (due to the lack of collateral and high failure rates). These types of requests are best served by area Small Business Development Centers (SBDC). Two are located at Lehigh University and Kutztown University and provide free help developing business plans and obtaining financing through the Small Business Administration (SBA).

Obtaining a small business loan can be daunting, but community banks offer the most reliable route to financing a local enterprise. As a small business themselves, community banks only thrive when their customers and communities flourish. With the proper preparation and approach, a community bank can provide you with the personal experience and support your business needs to succeed.