How to Survive a Stock Market Crash

August 23, 2015

Has anyone noticed how the stock market has repeatedly plummeted over the past six months? And how nearly everyone is soothed when industry specialists scramble to prop up our failing economy? And it’s not only happening in America – the Chinese market is halfway down that slippery slope as well. The last time the system showed this much volatility, the crash of 2008 occurred.

I’m no financial expert, but there seems to be a collection of very, very bad signs. When markets slowly freefall and no one in the media is talking about it, that means it’s time to sit up, pay attention, and be prepared to take immediate actions.

It’s time to pay attention because this could go one of two ways.

This could just be a tremor before the Big One hits. The economic gurus at the Fed could find another way to kick the can a little bit further down the road, giving you more time to get your personal financial situaion under control.  Obviously, things just aren’t right, and you can consider this a warning bell.

Or.

This could be “it”. If there are no creative, fake-money-from-thin-air remedies left, the market will continue to fall when it opens on Monday. If the market is still dropping, it’s game on.

Take these immediate steps if the market continues to fall.

I hate predictions.

I really cringe when people try to make economic predictions or pinpoint specific dates for impending financial disaster. So please realize I’m not making a prediction when I say this.

Watch the market on Monday. Carefully. Like it’s your job.

If it continues to fall, we could be in big trouble.

If on Monday, the market is still plummeting, it’s time to take action immediately. None of these steps will have long-term consequences if things level out, but they could make your life a whole lot easier if things get worse. Here’s what you need to do immediately in the event of a stock market crash.

  • Take your money out of the bank ASAP.  If you still keep your money in the bank, go there and remove as much as you can while leaving in enough to pay your bills. Although it wasn’t a market collapse in Greece recently, the banks did close and limit ATM withdrawals.  People went for quite some time without being able to access their money, but were able to have a sense of normalcy by transferring money online to pay bills or using their debit cards to make purchases.  Get your cash out. You don’t want to be at the mercy of the banks.
  • Stock up on supplies.  Make sure you are prepped. If you’re behind on your preparedness efforts and need to do this quickly, you can order buckets of emergency food just to have some on hand. (Learn how to build an emergency food supply using freeze dried food HERE) Hit the grocery store or wholesale club and stock up there, too, on  your way home.
  • Load up on fuel.  Fill up your gas tank and fill your extra cans also. Quite often, fuel prices skyrocket in the wake of a market crash.
  • Be prepared for the potential of civil unrest. If the banks put a limit on withdrawals (or close like they did in Greece) you can look for some panic to occur. If the stores dramatically increase prices or close..more panic. Be armed and be prepared to stay safely at home. (Although this article was written during the Ferguson race riots, civil unrest follows a similar pattern regardless of the cause.)
  • Be prepared for the possibility of being unable to pay your bills. If things really go downhill, the middle class and those who are the working poor will be the most strongly affected, as they have been in Greece during that country’s ongoing financial crisis.  This article talks about surviving if you are unable to pay all of your bills.

After the crash, focus on information

Hopefully there’s no need to empty out your bank accounts, stock up on last minute supplies, or lock-and-load for home protection. However, if this is a crisis situation, an actual 1929/2008-style stock market crash, you need to take your preps to the next level.

Information is the key. It’s imperative that you learn everything you can so that you know what you need to add to your preps. Do these two things if it looks like the situation is more than a blip:

#1.  Bookmark these preparedness websites. (Free)

The internet is a wonderful place, and best of all, this knowledge can be found for FREE! The more you know about crisis situations, the more ready you will be to face them. Some sites are friendlier to beginners than others, so if you stumble upon a forum where people seem less than enthusiastic about helping people who are just starting out, don’t let it get you down. Move on and find a site that makes you feel comfortable. Following are some of my favorites, and the link will take you to a good starting point on these sites. In no particular order:

Following are some of my favorites, and the link will take you to a good starting point on these sites. (Actually, it’s wise to begin increasing your knowledge even if we get a reprieve.) In no particular order:

#2.  Build your library. (Small expense)

This is where some money could come into play. Most of the time, people in the preparedness world like to have hard copies of important information. This way, if the power goes out and you can’t access the internet or recharge your Kindle, you still have access to vital advice.

Some of these books are for just such an event, while others are guides to building your self-reliance skills.  Commit to picking up a good book each pay period until you have a library to reference during any type of scenario.

Be sure to check out used bookstores, libraries, and garage sales, too. Look for books that teach self-reliant skills like sewing, gardening, animal husbandry, carpentry, repair manuals, scratch cooking, and plant identification. You can often pick these up for pennies, and older books don’t rely on expensive new technology or tools for doing these tasks.

Collapse is inevitable

Hopefully this is a brief crash and the market recovers. That gives us more time to prepare, and nearly everyone could deal with a little more time.

However, it’s imperative that you be watchful. This might be the triggering event for our next Great Depression. Be prepared to take action.

This may just be a warning bell, but we all know that it’s only a matter of time until we’re all out of warnings.

Daisy Luther

About the Author

Daisy Luther

Please feel free to share any information from this site in part or in full, leaving all links intact, giving credit to the author and including a link to this website and the following bio. Daisy Luther is a single mom who lives in a small village in the mountains of Northern California, where she homeschools her youngest daughter and raises veggies, chickens, and a motley assortment of dogs and cats.   She is a best-selling author who has written several books, including The Organic Canner,  The Pantry Primer: A Prepper's Guide to Whole Food on a Half-Price Budget, and The Prepper's Water Survival Guide: Harvest, Treat, and Store Your Most Vital Resource.  Daisy is a prolific blogger who has been widely republished throughout alternative media. On her website, The Organic Prepper, Daisy uses her background in alternative journalism to provide a unique perspective on health, self-reliance, personal liberty, and preparedness. You can follow her on Facebook, Pinterest,  and Twitter,.

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