If you are finding it a struggle sorting out your debt, One Advice can offer you some simple tips on how to simplify your problems:
1: Make a List of your Outgoings:
It is important that you work out where and when the money will be coming out of your account. Make a list of all your creditors including your credit cards, overdrafts and money that you owe to friends or family.
Then take this list and order it by how important each debt is. For example, each month you will have priority debt which will have serious consequences if it is left unpaid. So, if you fail to pay your electricity bill then there is the chance that you electricity may be cut off!
Your list might look something like:
• Mortgage/Rent/Home loan
• Utility Bills – Gas, Electricity and Water
• Hire Purchase for your vehicle
• Council Tax
• Maintenance support
• TV Licence
• Unsecured Lending – Credit Cards, Store Cards and Personal Loans.
• Loans from family or friends.
Ignoring any of these debts could lead to repercussions and please remember that this is not a complete list, and if you are struggling financially then it is important that you seek expert advice. Contact our One Advice advisors on 0800 048 1752 for expert help and guidance.
2: Work Out your Outgoings:
From the list that you have drawn up in Step 1, you need to work out how much you will be have to pay to each debt and when it will fall due.
Try to ensure that your wage can cover every one of these debts, and if you feel that you do not have enough money coming in it is important that you let your creditors know. Creditors are sometimes willing to organise some form of repayment if you are struggling but rarely miss payments.
However if missing payments to your creditors is a common occurrence then you need to seek expert help and consider your options to solve your debts. Remember: Don’t Ignore your Debt Problems. If you are finding your monthly outgoings a struggle then it is important that you don’t ignore your debt, as this will just lead to more problems for you.
One Advice offers many of the leading debt solutions. Our advisors are fully trained in all aspects of debt and they will help you work through your finances and find the right option for you. Debt Solutions to consider are Debt Management Plan or IVA.