If you are struggling with your debts, you may be wondering what is the best way to reduce debt repayments to a more affordable level. Here are a few simple ways to regain control of your financial situation, and help you to reduce debts at the same time.
If you need to reduce debt repayments to a more manageable level, to start with you need to find out how much debt you actually have to reduce. Then you can establish how much trouble – if any – you’re in. This means you’ll have to open all of the bills and statements that have been piling up that, you’ve been carefully ignoring.
Once you’ve worked out how much you owe, you may need to find out who exactly it is that you owe money to. Sometimes if you’ve missed payments and your account has defaulted, your debt may have been passed to another company for recovery action. They will usually have written to you to notify you of this change, so have a look through any paperwork that you’ve been sent and make sure that you’ve been sending any payments to the right people.
Also, do you know exactly how much your debt is costing you? The ‘cost’ is the rate of interest you’re paying on each of your debts. Some pay-day loans and other credit facilities have very high interest rates, some as high as 200%! This can make keeping up with other balances hard to maintain, as much of the money you repay towards these will be going to repay the high interest rate, leaving less money to help to reduce debts with other creditors.
We can help to reduce debt
Tackling your finances, in an effort to reduce debt payments, can seem daunting. If you call us we’ll work on your behalf to ensure that the repayments to each of the people you owe money to is affordable and manageable for you. With a debt repayment programme, it is possible to reduce debts to a single, affordable monthly payment – without the need for a loan.
We’ll go through your finances and ensure that you understand how much money is realistically available each month to repay the people you owe money to. We’ll negotiate with your creditors to reduce debt repayments and request that interest and charges on your accounts is stopped.
We offer a number of ways to tackle your finances, and help to reduce debts, such as a debt management plan or an IVA, or a Trust Deed if you live in Scotland. You will not be required to take out a loan or borrow more money. This will allow you to regain control of your finances whilst helping you to reduce debt in an affordable way. Our goal is to help you throught this challenging time – to eventually be debt free.
Just call the number at the top of this page now and one of our advisors will help you to reduce debts today. Our debt advice and IVA advice is free.