We live in a world fueled by credit these days. As a result, there are many people that have a variety of debts that they are juggling. While some people are able to manage their debts effectively until they are repaid, others struggle. In fact, over recent years more and more people have found themselves with spiraling debt problems. However, many fail to seek debt advice.
Failing to seek assistance and advice can lead to huge problems. Financial stresses can really take their toll on your health. It can lead to stress, anxiety and depression, which can then lead to physical health problems. It can also affect your quality of life, from your living conditions through to your relationships. Some people end up losing everything as a result of debt. The sad thing is that with the right debt advice they may have been able to salvage a lot of it.
Why is debt advice so important?
Many people are embarrassed about seeking debt advice when they fall into financial problems with credit cards, loans, and other debts. Others simply prefer to bury their head in the sand and hope that it all goes away. However, it doesn’t go away and in fact will get worse if you don’t seek appropriate advice. Debt advice agencies are there to provide assistance and support to those with unmanageable debt levels. They can discuss a range of different options and solutions based on your circumstance. They will then take the necessary steps to ensure that you have adequate money to live on each month.
You do need to be mindful about the debt management or advice company you choose. Some charge a fee, which you want to avoid. A government endorsed agency can provide you with the help you need without you having to worry about covering any fees. When you contact an agency for debt advice, you will generally have a telephone appointment to discuss your situation. The advisor will then be able to tell you what the options are so you know where you stand.
What are the options available?
There are various options that may be put forward by your debt advice agency. This could include anything from a debt management plan or informal arrangement with creditors through to an IVA or bankruptcy. Your individual circumstances and finances will determine which of these you are eligible for. The main thing to remember is that the debt advisor will be working in your best interests and not those of the creditors.
When you first speak to an advisor, they will go through your financial situation carefully and take into consideration your income and outgoings. You will then be able to sit and discuss the most suitable option based on your circumstances. Once this has been agreed, the agency or advisor will get the ball rolling so that the solution can be implements as soon as possible. You can then start looking forward to more financial freedom.