Protecting Yourself Financially When Disaster Strikes

By Justin Jaffe. January 16, 2025 · 3 minute read

This content may include information about products, features, and/or services that SoFi does not provide and is intended to be educational in nature.

Protecting Yourself Financially When Disaster Strikes

As the catastrophic Los Angeles wildfires continue to burn, residents are grappling with a range of emotional, physical, and financial challenges. Whether it’s a wildfire, hurricane, flood, or other calamity, taking advantage of government resources and managing your finances effectively can be an important part of recovering and rebuilding. Here’s what you need to know to secure assistance from the Federal Emergency Management Agency (FEMA), how to protect your finances during and after a disaster, and where to turn for current and credible information.

Navigating FEMA Disaster Relief

FEMA can provide critical resources to individuals and businesses affected by federally declared disasters. These may include financial assistance for temporary housing, home repairs, and medical expenses as well as childcare and transportation – if they’re not already covered by insurance. Here are the key steps to kickstarting that process:

•   Confirm federal eligibility: The LA Wildfires have already been declared a federal disaster. You can learn more about this designation on FEMA’s website.

•   Register with FEMA: Apply online at disasterassistance.gov, via the FEMA app, or by calling 1-800-621-3362. You will need to provide details like your Social Security number, insurance information, address, and a description of damages.

•   Document your possessions: Take photos and videos of the damage, and keep receipts for any expenses incurred as a result of the disaster. Learn more about how to do this.

Note that you may also be eligible for a special low-interest disaster loan via the Small Business Administration – even if you don’t have a business. You can find more information about that here.

Managing Your Finances After a Disaster

Managing your finances can be especially difficult in the aftermath of a disaster, given all of the demands on you. First, prioritize essential expenses like housing, food, and medical needs. Once the basics are under control, here are some steps to help you regain your footing:

Communicate with Creditors

Inform lenders, credit card companies, and utility providers about your situation. You can request a payment deferral, reduced interest rate, and other accommodations. Here are the phone numbers to get support for SoFi financial products:

•   SoFi Customer Support: 855-456-7634

•   Home Loans: SoFi Mortgage Servicing at 855-622-3198

•   Student Loans: MOHELA at 855-456-7634

•   Personal Loans: SoFi Servicing at 855-456-7634

•   Credit Card: SoFi Servicing at 844-945-7634

File Insurance Claims Promptly

Contact your insurance provider to report damages, and provide detailed documentation to expedite claims processing. Here are tips to guide the documentation process.

Create a Recovery Budget

As best you can, inventory your anticipated expenses related to the disaster.

Seek Additional Resources

•   Nonprofits: Groups like the Red Cross and Salvation Army may offer financial aid and supplies.

•   State and local programs: Many states and municipalities may offer supplemental assistance.

•   Community support: If you’re considering a charitable donation, check out this piece by the LA Times which provides an overview of credible organizations. And you can always vet charities using tools like Charity Navigator or the Better Business Bureau.

Monitor Your Credit

Disasters may increase the risk of identity theft. Regularly check your credit report for inaccuracies or suspicious activity. SoFi offers free credit monitoring, which you can sign up for here.

Stay vigilant. Scammers often try to take advantage of natural disasters, so be cautious of unsolicited offers or requests for personal information.

Where To Go For More Information

The LA Times has published a number of informative articles addressing frequently asked questions:

•   I Was Forced to Evacuate My Home. Do I Still Need to Pay My Mortgage, Rent, Utility Bills?

•   Fire Victims Can Get Aid from the Feds. How to Apply For FEMA and Avoid Potential Scams

•   L.A. Wildfire Resource Guide: How to Stay Safe, What to Do and How to Help


Photo credit: iStock/CampPhoto

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.
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