4 Tips To Help You Sort Your Debt Issues
With the cost-of-living crisis, and the overall economic state over the last few years, more and more people are finding themselves running into debt issues. This could be serious debt or a delayed payment from a subscription service you are signed up for. It is easy for these to build up, but it can feel difficult to deal with. That’s why we have put together this guide that can help. Continue reading as we cover four tips that could assist.
Write Them All Down
The first thing you should do when looking to sort your debt issues is to write them all down. Of course, this will involve you searching through your emails and letters, allowing you to figure out what you owe and to whom you owe it.
Usually, you will have those you owe money to always getting into contact with you, so you will always be reminded. But it is always a good idea to try and get ahead of your debt; writing this down will be a great way to remember what you owe.
There will also be apps that you can use that can help track your debt issues and give you reminders when you need it. This will help you figure out what you owe and ensure you won’t forget about it anytime soon.
Deal With Important Debt First
Once you’re fully aware of your total debt, you should work out which ones are the priority. If you can only pay off some of them, you should figure out which ones are crucial to your life. In most situations, this will come from your rent, mortgage, or energy bill.
In some situations, this could also include court fines and legal bills of some kind. While it may be inconvenient to owe money to your streaming service, this won’t be something that should take priority over other bills and debt.
Priority debts can cause you serious issues in the future if left alone for too long. There are experts you can get into contact with if you aren’t sure which debts you should prioritise and if you’re unsure of how to find them in the first place. Usually, these come in the form of local council services, but it can vary.
Look Into Debt Consolidation Plans
It will be in your best interest to investigate debt consolidation plans. Debt consolidation refers to paying off all your debts at once, usually through a specific loan, so that you then only owe the bank, or private loan company, the money. You will then pay back the loan provider, usually in one single payment each month.
Usually, you will have made a deal with the loan provider, so that you’re fully aware of how much you will pay each month and how long it will take to pay off. This agreement is something that should work for all parties.
There are also other ways for you to deal with debt consolidation plans. You can take out a loan from a payday loan provider to help you pay off your debtors. This works like a debt consolidation loan, except you deal with it more directly yourself. Something that usually puts people off with this idea is that they believe they have too poor credit to get a loan.
You can find poor credit loans from expert brokers such as New Horizons, who can get you a variety of quotes. You can get a quote here, allowing you to find the best loan to suit your needs. Find out how much you need to pay off your debts and create a repayment plan that works for you.
Contact Those You Owe Money To
Part of creating a repayment plan will involve working out how much you owe, and to whom you owe it. Once you have figured all of this out, it may be a good idea to contact those you owe money. This could allow you to find out your options and if any of the debt could be written off.
Of course, this isn’t guaranteed to be something that works, but it can help you find an option you perhaps didn’t think was possible before. If you are getting in touch with your debtors, then this can help them understand the situation and be confident that there is a plan in place, so they don’t need to keep chasing you.
This can prevent further interest from being added to the debt, as they feel satisfied with the repayment plan. When you get in contact with them, you may even find that they have support schemes in place that could be relevant to your situation. It’s also possible that you need to get in contact with them due to an issue with your bill. If you need to make a complaint to your debtor, there are methods you can follow, usually in conjunction with the industry regulator.
