Rebuilding Your Finances After a Disaster Is Much Easier if You Take Some Basic Steps Now

taking some precautionary steps now can make it much easier to get your in order to get yourself back on track later

In the days after a disaster, your first priorities are the safety of your family and your day-to-day needs. As help arrives and rebuilding begins, smart financial moves will speed your recovery and reduce losses. The best time to prepare is before a storm or wildfire. A few low-cost steps now can make claims easier, help you avoid scams, and ensure you can pay priority bills even if mail, power, or internet go down.

Take your time

It is normal to want life back to normal immediately, but rushing invites errors and fraud. Document everything first, read contracts, and verify licenses and credentials. If someone pressures you to sign, slow down. Reputable insurers, lenders, and contractors will give you time to review.

Before the storm

• Store digital copies of your insurance policies, mortgage or lease, IDs, titles, and recent statements in secure cloud storage and on an encrypted thumb drive kept in a go-bag. Include photos of the front and back of your insurance cards.
• Make a simple home inventory. Walk each room with your phone and narrate brand names, serial numbers, purchase dates, and ballpark values. Save the video to the cloud. Update after major purchases.
• Enable online access and multi-factor authentication for your bank, mortgage, utilities, and insurance accounts. Bookmark direct login pages so you are not searching links during an outage.
• Set up automatic minimum payments on credit cards and loans from a low-risk account to avoid late fees if mail or internet service is interrupted.
• Keep a small emergency cash reserve for fuel, food, and supplies when card systems are down. Secure it in a safe that is bolted and fire rated.
• Confirm your homeowners, renters, flood, and wind coverage. Flood is typically a separate policy. Note deductibles, coverage limits, and whether you have replacement cost or actual cash value.
• Record your mortgage servicer’s contact information. If you are unsure who services your mortgage, you can look it up via the Mortgage Electronic Registration Systems.

As soon as possible after the storm

• Document damage before you touch anything. Take wide photos, then close-ups. Photograph serial numbers and water lines on walls and furniture. Keep a running list of damaged items with approximate value.
• File insurance claims immediately and keep a claim log with dates, names, and summaries of every call. Save emails and upload photos to your claim portal.
• Prioritize housing payments. Keep paying your mortgage or rent unless your lender or landlord confirms a hardship plan in writing. Missing payments can trigger late fees, negative credit reporting, or even foreclosure or eviction.
• Call lenders early if you expect to miss a payment. Ask about short-term forbearance, payment extensions, or disaster hardship options. Get the agreement in writing and calendar the restart date.
• If you are in a federally declared disaster area, apply for federal assistance at disasterassistance.gov and review low-interest loans from the U.S. Small Business Administration at sba.gov.
• If you cannot occupy your home, suspend utilities you cannot use. Photograph meter readings when safe to do so and confirm shutoff dates.

Rebuilding the right way

Most consumers rely on the insurer’s adjuster. Some hire a public adjuster to help with claims, which is allowed in North Carolina, but the adjuster must be licensed. Verify licenses and watch for red flags.

Public adjuster red flags:

• Large upfront fees or pressure to sign an exclusive contract on the spot
• Referrals to a specific contractor in exchange for a cut
• Promises of inflated or suspicious claims
• Demands for excessive personal information unrelated to your claim

Hiring contractors without getting burned

• Use local and well-established firms. Be wary of door-to-door crews or companies without a physical address and working phone number.
• In North Carolina, a general contractor license is required for projects of $40,000 or more. Verify status and any limitations with the NC Licensing Board for General Contractors at nclbgc.org. For electrical, plumbing, and HVAC, verify trade licenses with the appropriate state boards.
• Get at least three written estimates with scope, materials, start and completion dates, permit responsibilities, payment schedule, and warranty. Avoid large deposits. Pay by milestone after work passes inspection. Never pay in cash.
• Request proof of liability insurance and workers compensation. Call the carrier to confirm the policy is active and covers your project.
• For many improvements in North Carolina, owners must designate a lien agent if the cost is $40,000 or more. Ask your contractor about lien agent requirements and obtain lien waivers from the general contractor and all subs with each progress payment.
• Do not let a contractor steer you to a specific lender. Compare financing with your credit union and reputable lenders. Read loan terms carefully and avoid high-fee products.

Protecting your identity and your refund

• Scammers strike after disasters with fake contractors, FEMA impostors, charity scams, and phishing. Do not share Social Security numbers, bank logins, or one-time codes. Confirm who you are speaking with using official numbers.
• Use certified mail or tracked email for important communications with insurers, mortgage servicers, and contractors. Keep a central folder with receipts, photos, estimates, and permits for tax and insurance purposes.
• If you suspect fraud, report it promptly to North Carolina authorities and your insurer. Fast reporting improves your chance of recovery and helps prosecutors.

North Carolina resources

• NC Department of Justice Consumer Protection: Report repair scams, price gouging, and disaster fraud or get mediation help at ncdoj.gov/complaints or call 1-877-566-7226.
• NC price gouging law: During a declared state of emergency, excessive pricing is illegal. Learn about protections under G.S. 75-38 at ncleg.gov. Report suspected gouging to NCDOJ.
• NC Department of Insurance: Verify an insurance adjuster or producer license and get help with claim issues at ncdoi.gov.
• NC Licensing Board for General Contractors: Confirm a general contractor’s license and limitations at nclbgc.org.
• NC Office of Recovery and Resiliency ReBuild NC: Review homeowner recovery programs and long-term disaster assistance at rebuild.nc.gov.
• NC 211: Call 2-1-1 or visit nc211.org for local sheltering, food, and recovery resources in your county.

A simple financial checklist you can start today

• Create a disaster file with policy numbers, contacts, and passwords stored securely. Share access with a trusted family member.
• Build a small emergency fund for essential cash needs. Refill it after the crisis passes.
• Review coverage and raise limits if needed. Add riders for valuables. Consider separate flood insurance if you are exposed.
• Practice your claim workflow. Know where to upload photos and how to reach your insurer after hours.
• Map your priority bills. Automate minimums and set alerts so nothing slips during the first chaotic weeks.

Preparation reduces stress and protects your money when a disaster hits. Start with documentation and accounts access, make a basic inventory, and learn how to verify professionals before you hire. If the worst happens, slow down, document thoroughly, and use North Carolina’s consumer protection resources to keep your recovery on track.