The typical person with debt problems obtained credit when they had a regular income that easily supported the payments, and then their life changed, often beyond their control.
Common reasons for falling in to debt include:
- Rising living costs have stretched your finances, making bills unaffordable
- You or your partner have suffered a long-term illness or disability
- Your salary has dropped because of losing your job, reduced hours or a job change
- A relationship has failed and your household income has dropped
- Unexpected bills
These unavoidable changes in circumstance can have a catastrophic affect, leading to difficulties keeping up with the monthly bills.
If you find yourself in debt then now is the best time to seek help, before the arrears start mounting-up and your creditors start legal action.
Many borrowers put the letters demanding money to one side and hope their finances will improve, but this rarely happens without some sort of personal intervention.
The first step to sorting out debt problems is recognising there is a problem and that you need outside help.
The fear is bankruptcy, but this really is often the last resort for most borrowers and their lenders.
We will not judge you for how you manage your money – our job is to guide you through the options to deal with the problem that best suit your personal circumstances.
These options range from a debt management plan to voluntary arrangements and bankruptcy.
Your debt adviser will look at your finances and discuss which solution is likely to be the best for you.
The decisions about your personal debt solution will depend on several factors, like:
- If you have any disposable income after paying your priority bills, like rent, the mortgage, utilities and other day to day living costs.
- Your credit history
- Whether you own any assets, like your own home
- The likelihood of you paying your unsecured debts within a reasonable time
The key to dealing with debt is taking advice that is tailored to your personal financial circumstances.
Debt help does not come as a one-size-fits-all service; every borrower is different and needs a personal strategy to deal with their financial problems.
Call now on 0800 0141 130 for a confidential discussion.