Top Tips For Managing Your Debts
Recently the credit crunch has never been out of the news, and rising domestic bills are putting more and more pressure on household finances.
Having financial problems? Follow our
simple tips to manage your debt now.
Recently the credit crunch has never been out of the news, and rising domestic bills are putting more and more pressure on household finances. Itís not all doom and gloom though, there are a number of way in which you can take control of your debts and effectively manage your money in the future:†
1.††††††† Control Your Credit Cards - If you owe a lot of money on one or more credit cards then itís a good idea to tryand reduce the amount of interest youíre paying each month. You can do this by looking for a card with a 0% balance transfer rate. If you choose to go down this route itís vital that you cut up and cancel your old cards as soon as possible in order to remove the temptation to start spending on them again, which will only lead to a vicious circle of debt.
2.††††††† Donít Keep Borrowing - With consumer credit so readily available it can be tempting to borrow a little bit extra from another source to help pay off your existing debts. This is one of the worst things you can do and while it may work as a quick fix, it invariably leads to long term financial headaches and problems trying to keep up with the interest and loan repayments.
3.††††††† Take Responsibility†† Ė†† Burying your head in the sand and hoping your debt problems will disappear on their own will only make matters worse. Open every piece of mail you receive and if you are not able to pay that particular bill then call the company directly or ask Debt1.co.uk to do it for you to explain your situation to them rather than waiting for them to start chasing you. With over 14 million UK households relying on their overdrafts to get by each month, youíre not alone and your creditors will usually try to deal with your situation sympathetically.
4.††††††† Review Your Monthly Outgoings Ė Regardless of your current level of debt, it pays to have a thorough review of your personal finances every so often to keep track of whatís coming in and out and establish where you can make savings. Shopping around every time you buy a product or service can save you a considerable sum of money over the course of a year and often you can find things cheaper online than in the shops.
5.††††††† Seek Professional Advice Ė Living with spiralling debt can be extremely stressful and it may often seem like thereís no way out. There are a number of options specifically designed to help people become debt free such as debt consolidation, debt management plans and Individual Voluntary Arrangements (IVAís).
Here at Debt1.co.uk our expert advisors can talk you through all of your available options to find out which one is best suited to your own circumstances.
Give us a call
now on 0800 043 4747 to find out if we can help you take control of your debts.
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ABOUT THE AUTHOR
Chris Pracy is Marketing Manager for Accuma Group Plc. Chris manages a number of debt management and debt advice related websites including www.debtsolver.co.uk and www.debt1.co.uk