Showing posts with label Debt consolidation. Show all posts
Showing posts with label Debt consolidation. Show all posts

Thursday, January 26, 2023

Is It Possible To Be Debt Free By 50?

The dream of retirement by the age of 50 is not a far-fetched dream to have. Many talented and skilled individuals find the wealth that carries them into retirement when they are in their 50s-60s.

Unfortunately for some people, the weight of their ever-expanding debt that has snowballed throughout their lives comes between having a restful retirement and working for as long as possible to pay off all of their accumulated debt.

This is no way to live, and of course, as you reach the age of 50

According to new data from Experian, the average credit card balance in the U.S. is $5,221, and personal loans are up to $17,064. This is just on average, and when you are approaching the ripe age of 50 it is understandable to start to question how to tackle such large debts.

When we were in our 20s we all imagined enjoying our retirement on a tropical beach sipping cocktails, but with a huge lump of debt, it can seem impossible to imagine. 

It is possible however, but taking the correct steps now to alleviate your debts is essential if you wish to reach a certain level of financial security. Being debt free, even if you are already in your 50s is a goal worth working towards.

Negatives Of Debt In Your 50s


If you are sailing through your life attempting to ignore your responsibilities to pay off debt, you should consider the negatives effects debt will place on your life:

Reduced Disposable Income - The interest that accumulates with paying off debt over time can consume a large portion of your income after paying other bills, leaving less money for experiences and enjoying your life.

Medical Problems - As we get older, we are more susceptible to illnesses and serious health concerns. The effects of stress on our health can be detrimental, and dealing with debt when we are vulnerable can be dangerous.




Potential Lost State Pension - If the volume of your debts without effective management leads to bankruptcy, you are liable for your pension to be at risk.

What Steps To Take


You Must Change Your Mindset

How you perceive debt is one of the most important things if you hope to see change. If you are approaching your 50s or even are at a later age, debt should be seen as something to be resolved in comparison to something to live with. 

Certain debts perhaps might be considered manageable and unavoidable such as a mortgage and medical expenses. If you currently are not considering your debt as a burden to be solved, you need to change your views. 

If you hope to create a fast-track route to living debt free in your 50s, your mindset should align with these values. Commit to the change!

Consider What A Debt-Free Life Means


Before jumping into action, you should take some time to consider what living debt free would mean for you, no matter what age you are. 

We all have goals, places we hope to visit, and people we wish to help when we can settle down and ease into retirement. Perhaps you would simply love to have the extra money to save up and pass the money down to your family. 

Regardless of your reasoning, being done with debt is beneficial for everyone, but you should reinforce these values at all times to avoid creating further debt.

Gather All Your Debt Information


Begin to assess what debt you have. Gathering all of the data is essential if you wish to take control of your debts and stop them from expanding. 

This can be difficult and of course, it might be difficult to come to terms with what debts you have, but have faith and know that it is possible to be debt free. Ignoring your debts will accumulate to even more debt over time, so nip it in the bud now and gather the information. 

Do not leave a stone unturned, and request a credit report to see exactly what is owed. You might find there is credit on there you have been neglecting.

Seek Financial Advice


To begin the process of working your way through debt, you should seek financial advice. No one is expected to know the best way to manage debt as everyone has unique collections of debt. 

Financial advisors exist to find the best route to alleviating stress as much as possible and guide you through the process of paying things off. Potentially, they will personally speak with your existing creditors to reduce the interest rates. 



Many routes can guide you through, but it is your responsibility to seek the help you need. There is no harm in asking for help.

Consider Consolidation


If you have multiple debts that are weighing down on your current expenses, it might be worth seeking debt consolidation. Less debt means more savings towards your retirement, therefore if you manage to qualify for such consolidation from your debts you will potentially be en route to a faster debt reduction. 

All of your debts will merge into one monthly payment, making the repayments easier to manage. Additionally, if you are looking to potentially write off some of the debts, seeking IVA advice would be beneficial to see if you qualify under your circumstances.

Don’t Panic


Ultimately, debt finds its way into most of our lives, but how we manage it is key to escaping its ruling over our lives. Stressing over the debt you already have will not benefit you, but taking the steps to acknowledge that you can ease debt with the correct action is vital. 

Take your time to calmly work through the process of scaling down your debts. Retirement will be much more enjoyable once you are in the position to enjoy all of your savings and responsibly manage your state pension.

Final Thoughts


If you hope to be debt free by the time you reach your retirement, you should implement all of the recommended steps. Understanding that you are not alone and that we all will have to come to terms with our debts might offer you some comfort. 

Those of us who retire with our debts paid off can live more financially free than others, and you can experience this too.


Wednesday, May 19, 2021

How Loans Can Keep You From Falling Behind Financially

Many people are currently out of work but still need to pay their bills. This causes people to drastically fall behind financially. Even if you have money saved for a rainy day, an unexpected financial crisis can put you in debt.

Back in the day, you could borrow money from your loved ones to get by and they could live comfortably until you paid them back. However, it's likely that even their finances have become tighter, so they may not be as open to loaning large amounts of money.

Some people may feel skeptical about getting a loan depending on how much research they have done. However, taking out a loan from reputable businesses can be the best financial decision you can make. Here are a few ways loans can improve your financial standing.

Avoid High-Interest Rates.


When it comes to lending options, getting a personal loan is one of the most flexible options available to you. Some companies give you between six months to ten years to repay the loan back depending on their policies. 

When you commit to a long-term payment plan, you also have a fixed interest rate, which is less than having to pay multiple bills at once.

Once you’re in decent financial standing, you can even get in good standing by paying a bit more than your minimum monthly balance. As long as your lender doesn’t require a prepayment fee, you can get ahead while saving hundreds or even thousands in interest.




Consolidate Major Credit Card Debt.


Credit cards are a great thing when you can make the payments on time. Unfortunately, falling behind on bills typically means you’re unable to pay your credit card bills every month. On top of late fees, credit cards notoriously have high-interest rates.

Taking out a personal loan allows you to combine your credit card debts and pay them off in a shorter time period. Even if you still have a remaining balance, you’ll ultimately pay less money than if you don’t consolidate your credit card bills and utilize a loan to pay them off. Best of all, you can raise your credit score, which creates a large number of financial opportunities for you.

Like any lending option, personal loans can have ups and downs. However, they are a great way to help yourself when you're in a financial bind. 

Be sure to do plenty of research so that you can find a reputable personal loan company like Right Trac Financial. By taking the time to identify your options, you will be able to find a variety of different loans that can help you maintain financial stability.


Thursday, August 8, 2019

The Payday Loans Checklist




For many Americans, payday loans offer a vital lifeline for times when money is hard. A payday loan can provide a much-needed cash injection for any individual or family in need. If you are hit with an unexpected bill that you can’t pay, but you know that you will soon have wages or other income coming in, a payday loan is an ideal solution.

But before you take on any debt, you need to make sure that you’ve run through this 

checklist.

The Loan Criteria


Before you apply for any loan, you should ensure that you have read and understood all of the terms and conditions attached to it. You should never sign a contract without reading it as a general rule; it’s bad enough that we give big tech companies endless permissions to violate our privacy without thinking about it, but you can’t be so cavalier about the financial arrangements you enter into.

The loan criteria will be easily available on the website of the lender in question. It will set out the exact requirements for being granted a loan. Note that meeting the criteria does not guarantee that you will receive the loan; there will usually be additional credit checks.


Are Payday Loans Right for Your Situation?


Just because you need or want money in a hurry, that doesn’t necessarily mean that you should be looking at payday loans such as these from https://locations.friendlylender.ca/alberta/online-payday-loans-edmonton-no-credit-check

Equally, there are situations where a payday loan is a perfect solution, so it is essential to be able to tell which is which.

Payday loans are ideal for people who need a relatively minor cash injection to see them through until they receive an expected payment - usually their wages. They are not well suited for those who are seeking long term funding for a business venture, as payday loans need to be repaid as soon as possible.

Your Current Levels of Debt


You mustn’t take on more debt as a means of paying off a previous debt. This is completely unsustainable. The exception to this is if you are undertaking debt consolidation, whereby you take out a relatively large sum of money that you can pay off at a manageable rate, and use that to clear several smaller debts whose monthly payments together were costing you more.

If you are considering debt consolidation, you should talk it through with a qualified financial advisor beforehand to make sure that it’s definitely the right option for you.


ID & Documents


You will need to provide the payday lender with information about yourself, so that they can transfer the loan to you and, if necessary, chase you up for repayments. Most lenders will also want to carry out a credit check before they lend to you. If you don’t know your credit score, it is worth finding out. If you have a low credit score, there are still lenders who will be able to help you in most cases.

If you think that a payday loan can rescue you from a financial conundrum, make sure that you understand precisely what you’re getting into before you commit. For certain situations, payday loans are an absolute lifesaver. Just don’t take on debt that you can’t handle.

Wednesday, June 21, 2017

Consolidation Is A Great Solution For Many Too Loans



There are many uninformed expenses like roof leakage and medical bills which disturbs a person’s so called budget. In emergency cases the high interest loans are easily available. People finds you deadly in the need of money and thus you have no choice but to agree to take such loans. 

If you are unable to pay that loan installment on time, interest rate carries you so far away that the situation becomes out of your control. Such pay day loans are vicious easy to obtain but impossible to overcome.


Loan consolidation


There is a process called loan consolidation which all debts into one and now you owe only one debtor. Consolidation counsellors minimize your rate of interest and free you from additional charges. 

It allows you to pay your debts at a lower monthly amount for a certain span of time. You can get a secured loan at low interest rates or an unsecured loan at a higher interest rate. Choices and options varies according to the circumstances of the indebted. 

You can handle your loans by yourself but if finances becomes out of control, consolidation is the only option. Consolidation experts take the responsibility to communicate with your debtors so that you can live start to live life stress free.


A Path to a Debt Free Life


Consolidation does not mean you are debt free, it just means that you have an affordable process to pay your debts. Consolidation does not work by itself, it works with your sacrifices and determination to pay off your debt. 

Before hiring any such agency you must check their record on the website of the BBB. You are not going to purchase anything from the consolidation firm, they are just offering you services with a minimal charge. 

These finance counsellors advise you how working to pay off debt is better than bankruptcy. They settle your doubts and help you get on with life.


Find a Good Consolidation Loan Company


Before getting into any agreement consider all other possibilities. Mostly all consolidation agencies offer you the same interest rate, whether it’s a personal loan or student loan. 

A kind of consolidation loans can offer you cash back if you complete your agreement within the grace period. Always read the small print carefully before signing any agreement. 

They can offer you additional discounts in the first few months as an incentive to sign you up. Read all documentation carefully in order to avoid any fraudulent act. Always check whether the company is truthful and get everything in writing. 

It's good to check out the experiences others are having with the service. You can read reviews online .


Pay Off Your Consolidation Loan and Budget Your Money


Now that you are set up with a consolidation loan be sure to pay it off with all haste. Focus on it to pay it off early. 

After getting your agreement with the consolidation agency for consolidation loans, you have to manage your monthly bills and loan installment together. From now on you cannot avoid organizing your monthly expenses nor can you skip your monthly payment. 

So after acquiring consolidation help try to earn more money and spend less. The consolidation counsellor helps you get back on your feet but obviously you must spend smartly.


Thursday, January 8, 2015

Four Mistakes to Avoid During Debt Consolidation

Many American families are being financially destroyed by debt. With the recent economic slumps and increases in interest rates, many people saw what they’d thought was manageable debt become a mountain that loomed over their future. Debt consolidation offers hope for people in this situation.

Debt consolidation has certain pitfalls, just like every other financial decision. The following are four of the most common mistakes that people make when going through this process.

Paying More to Consolidate


Many people assume that they will automatically save money in debt consolidation. This is not always the case. While the monthly payments may be lower, they often come with higher interest rates. Even if the interest rates are lower, paying over a longer period of time leads to more interest paid over time. Use an online debt consolidation calculator to see whether you will save money in debt consolidation or end up paying more.

Another way you could end up paying more is by using an inexperience debt consolidation company. Acting too quickly and failing to investigate a company’s claims can result in you paying far more to consolidate your debt than you should. Additionally, this course of action often results in constant harassment from bill collectors, adding even more stress to the debt consolidation process.

Not Dissolving Credit Accounts


If you decide to go forward with consolidating your debt, you would do well to be fully committed. An expert from Faber Inc says it’s much harder to break out of debt when you have credit cards and accounts in use. Immediately after these accounts are paid off, they should be closed. Failing to do this could lead to ending up deeper in debt than when you started. The best way to avoid the temptation to fall back on credit is to remove it completely—this may result in some serious restructuring of your budget, but will be the best move in the long run. 

Using Your Home or Other Major Assets as Collateral


Many people use a home equity loan or refinancing to consolidate their debt. It's easy to see why this sounds attractive. Mortgage rates are relatively low, often far lower than credit card interest rates. However, you are putting your home on the line for an amount of debt that is usually nowhere near its value. If you ever cannot make the payments, you risk losing your home over a relatively small amount of debt. For most people, this is much too risky to attempt if there is any chance that payments may not be met on time. 

Keeping the Same Lifestyle


Debt is often a symptom of a much larger problem. If you routinely rely on credit, you are not living within your means. Examining your average monthly expenditures and using this to create a budget plan is a great way to get started on cutting back. Make changes to your spending and your expenses to avoid acquiring new debt while you struggle to pay off the old. Maintaining these new spending habits will also result in long-term savings and a much healthier financial future. Many people who find themselves deep in debt worry about repeating the cycle for years to come—by forming healthy financial habits now, you can avoid a future in debt.

Debt consolidation can help people to dig themselves out of a hole. Because of this, many people don't pay attention to potential drawbacks of the process. Educate yourself before beginning this process to avoid these common mistakes, and debt consolidation can help put you on the path to a healthy financial future.


Monday, October 6, 2014

Six Alternatives to Filing for Bankruptcy

Filing for bankruptcy is a drastic measure, one which could have an impact on your financial future for decades. For most people, bankruptcy is only used as a final option. Despite this, bankruptcy should not be considered a financial death sentence—on the contrary, declaring bankruptcy often offers a second chance to those who would not otherwise have received one. If you’re considering filing for bankruptcy, it’s possible that there are some other options to pursue before you go forward with a drastic action. Below are six different alternatives you may want to consider before filing for bankruptcy.

1. Use a Credit Counseling Agency


Before declaring bankruptcy, most people try to manage their debt. There are many credit counseling agencies that are, in fact, nonprofit organizations that just want to help. Such an agency can help you negotiate with your creditors and improve your financial situation. It’s always a good idea to seek professional advice for something as important as personal finance, so consider visiting a counselor before deciding on a repayment strategy.

2. Negotiate with Creditors on Your Own


In some cases, you don’t necessarily have to go through a third party to renegotiate your debt. If it looks like you may have no other way to pay off your bills, certain creditors may be willing to alter your payment schedules to give you more leeway. This can be difficult, however, and seeking professional assistance for negotiations is typically the best way to go about approaching creditors.


3. Sell Some of Your Property


If you file for bankruptcy, you may end up losing many of your assets. With this in mind, it may be better for you to sell your property on your own terms. For example, if you have a boat you have not used in many years, selling it to make a large payment on your significant credit card debt may be a good idea. Holding a yard sale and selling off many of the unused items lying around the house is a great way to put some extra money towards your debt payments and get rid of some clutter. 

4. Borrow from People Other than Creditors


While borrowing more money to pay off debt may seem illogical, it may be a good idea in certain cases. For example, you could borrow some money from family or friends. They are likely to be far more lenient than creditors. Just make sure to eventually pay them back to avoid strained relationships.

5. Slash Your Living Expenses


If a lot of your income is going to things other than debt, you can probably make some sacrifices to redirect some of those funds towards paying your debt down. Get rid of all unneeded expenses. It may be tough to only pay for the bare necessities for a while, but it will be worth it in the long run. Some of the most overlooked expenses are recurring automatic payments—cancelling your subscriptions to paid services that withdraw regularly from your bank account can save you hundreds of dollars every year. 

6. Consolidate Your Debt


Debt consolidation means restructuring all your debts into a new payment program. Debt consolidation can make paying bills less stressful and far easier to repay. It will also likely be cheaper than paying all of them off individually.

Though there are some good alternatives to declaring bankruptcy, for some it is the only way to manage their debt. A Mississauga credit counselor from Paddon & Yorke Inc advises those considering bankruptcy to first seek counseling to assess the options available to them. Being deep in debt is a difficult situation, but keep in mind that there are avenues available to help you recover your financial standing.


Friday, June 20, 2014

Getting Your Creditors To Meet You Half Way

If you are like many consumers, you may carry high balance on your credit card accounts. With high balances come high monthly payments, and you may find that these payments are unmanageable with your budget. If you find it difficult to make your minimum monthly credit card payments, you may consider asking your creditors to meet you halfway.


What Your Creditors Have to Lose


Your principal balance on credit card payments equates to funds you owe to your creditors. If you default on that debt, such as by filing for bankruptcy, your creditors may not receive any of the money you owe them. They are aware that your financial struggles can equate to monetary loss for them, and they may be willing negotiate terms for you. 

Adjusting Financing Terms


You can consider asking your creditors to adjust the financing terms. For example, some creditors may be willing to reduce your interest rate. The interest rate is one of several factors that affect your minimum monthly payment, so a reduction in the rate may result in lower and more manageable payments.

Writing Off Debt


You can also ask your creditors to write off a portion of your debt. Some creditors may be willing to forgive a portion of the debt if they are assured that they will receive the rest of the money that you owe them. Some may request that you make a good faith payment with a large sum of cash in exchange for this settlement. When the principal balance is reduced, your monthly payments may decrease considerably. However, keep in mind that the IRS may consider the portion of debt that is written off as taxable income.


How to Get Started


Negotiating with your creditors can be beneficial to you, and many creditors are willing to work with you to set up a debt structure that is affordable for you if they know that you are struggling financially. However, some consumers have discovered that they receive more favorable terms with debt negotiations and settlement when they work with a company, such as Paddon & Yorke Inc, that specializes in this area. You can attempt to contact creditors on your own, or you can seek professional assistance by doing a consumer proposal in Toronto.

Debt balances can easily get out of hand, and the payments on your debts can stress your budget. If you find yourself challenged by your debts, your creditors may be willing to meet you halfway. You can reach out to your creditors to request adjustments to the loan terms or the balance owed, or you can seek professional assistance from a debt settlement firm.

Friday, March 28, 2014

Financial Debt management -- Tips and Benefits

If you are looking forward to get rid of the debts that you have build in the past you must take some steps to actually see things happening. You must manage your debt efficiently so that you could avoid the seriously bad effects that they could have on your financial future. The debt management plan in the US helps its people who have taken loans to restructure them in order to repay their loans on time and in an effective manner. If you make a clear plan on how you should manage your finances then you will get an approximate idea of the time that you may take to complete the repayment of the loan.

You should take a firm decision for your financial condition which may include your credit card debt also.

1. EVALUATE YOUR DEBT AMOUNT:


Before going through any repayment plan of your debt , you should get an exact idea of your finances. Combine all your debts and calculate the exact amount. Then calculate the exact amount of your monthly income and make an estimation of how much you can devote to your debt management plan.


2. CHECK THE FEES OF THE COMPANY


If you want any debt assistance then you should also be aware of the charges that these help may take . Some charge you with the reasonable amount while others charge you heavily for the , so before proceeding for any assistance you must first ask about the charges the company is asking for. 

3. THE REPUTATIONOF THE COMPANY


Before moving any further with your plan you must ensure that the company is worth trusting or not . You could find out, by going through the complaints and feedback of the previous customers. This will give you a rough idea whether to trust the company or not.

4. BENEFITS OF ENROLLING IN A DEBT MANAGEMENT PLAN


When your credit card accounts are given to the collection agencies and you start living in fear of your financial limitations. The debt management plan can be your saviour, it could act like a shelter in the mid- noon. Here are some advantages of the plan

5. OFFERS EXPERT HELP AND DEBT ADVICE:


Once you consult the debt consultants they will provide you with the best help that they could and can tell you some effective money management tips. These are experienced people and it is on the basis of the same that they offer solutions to people depending on the kind of situations they are facing.

6. REDUCES INTEREST RATE AND CHARGES:


The debt negotiators are trained in such a way that they could negotiate your debt drastically with your creditors. You could see the effective results as soon as the negotiation is done. With this you would have to pay low monthly instalments and you could get rid of the debt very soon. However, do not leave everything on the debt settlement agencies. Use your knowledge, contacts and the expertise to get a hang of your financials and taken an informed decision.

7. STOPS CREDITOR CALLS:


The debt negotiators will take the calls from your creditors. the debt management will help you to pay your instalments on time and in return the debt collectors will stop bothering you every now and then you could get the peace of your mind back and soon you will be able to pay back the cash loans no credit check.

The most important step towards getting a financial resolution to your debts is to know how they are poised. If you have multiple debts, you need to have a complete understanding of how they are going to impact your monthly and the payments your are required to make.

Thursday, January 30, 2014

Great Tips for Credit Card Debt Relief

Credit Card
Credit Card (Photo credit: 401(K) 2013)
After you have dug a hole into your credit cards it can seem almost impossible to get out. Although you might feel like you are in a bind with your credit cards, there are a lot of options available to you. Just start thinking about the future and leave the past behind you. 

What you have to do is think about how you are going to get your finances in order, rather than dwelling on your current financial position. Take a look at this article to see what you can learn about figuring out how to pay off you credit cards for good. Read on for some great tips on credit card debt relief.

The first thing you want to do is find out how much debt that you have. Once you can figure out how much debt you have you will figure out how much money you need to make to get yourself out of debt. This is a good way to understand what you need to do in order to get your finances in order. 


You can figure out how much you make a month and how much you spend on bills. Write out a budget for yourself and try to calculate how long it would take you to pay back your credit cards. This should give you a clear idea of how long it will take you to clear your credit card debt.

If you feel like it is going to take too long for you to pay off your credit cards, then you are going to want to look for another job, pick up more shifts at work, or consider working two jobs for a little while. All of these options are going to help you get more money regularly that you can use towards paying off your credit cards. 


It takes a little sacrifice to get yourself back on your feet and to eliminate the debt that you have created for yourself. Yet if you are serious about eliminating your debt, then you are going to sacrifice a little to get ahead.

Consolidation is always an option for you, and it helps you establish yourself further. Buy yourself a little time by consolidating your credit cards and having a budget that works for you. All it takes is a simple phone call to your credit card company, and you can have them consolidate your loans. 


You can also head down to your bank and see what they have to say about consolidating your credit card debt for you.

Use the tips for credit card debt relief shared above. Do not let credit cards scare you any longer. With the right amount of motivation you can find a way to pay off your credit cards in a timely manner. Planning ahead is the key towards figuring out how to pay off your credit cards. 


You now know what to do in order to relieve some of your financial debt. So dedicate yourself from here on out to practicing healthy credit card habits and pay off your credit cards as soon as possible.


Wednesday, January 29, 2014

Get your Credit Card Debt under Control for 2014

Credit cards are the culprit of far too many debts across Australia. Most people think long and hard before even considering a personal loan, but will rarely think twice when it comes to applying for a credit card. Intentions are good, and things go well to start with, but as the debt climbs and the monthly repayments grow the debt can soon become unmanageable if you don’t keep things under control. If you find yourself in a situation like this and you’re struggling to free yourself from your credit card debt, then take the first step today and discover what you can do to start diminishing your credit card debt right now.

Consider Debt Consolidation



Most people who are in a difficult situation with credit card debt often have more than one card, and sometimes have personal loans and other debts too. With this many payments to make each month it often ends up that you can only make the minimum payment off each debt – which in most cases will only cover the interest payment and doesn’t reduce your debt.

This is a vicious circle to be in, as you can easily end up continually paying interest and never reducing your debt. If you’re in a situation like this then debt consolidation could be the answer. By consolidating all of your debts into one debt with a manageable payment you can actually start working on paying off the debt you owe, rather than just paying interest charges every month.

Having all of your debts consolidated into one makes it more manageable and gives you a lower interest rate to work with, allowing you to get your debt paid off more quickly.

So, how do you find the best solution?



The most difficult step is often the first one. Once you have made started the process you will find things just get easier and easier, until one day your financial freedom is obtained. It’s advisable to always speak with a debt consolidation specialist in your area as they will be able to analyse your financial situation and put forth the best solutions for your circumstances.

Debt consolidation isn’t something which you should enter into lightly or without professional advice and you can end up making your situation worse, so make sure you seek advice from a professional if you are in any doubt at all.

Stop worrying about your credit card debt, take some solid action and get you can get your finances under control and fully manageable during 2014.


Author Bio: Nathan Rossiter is a regular contributor of money saving tips and debt advice. When he is not busy working with the team at DebtConsolidation.com.au he enjoys keeping up-to-date with the latest news from the world of Finance, and the occasional game of FIFA 2014!



Saturday, January 25, 2014

Costly Debt Traps-This the Way to Avoid Them

Credit cards Français : Cartes de crédit Itali...
There are many reasons why people go for payday cash advance loans but it draws down to lack of other options to raise money. However, while the cash advance facility meets you at your most desperate moment and makes things much better, it is not one to rush into, especially if the bill or need can wait. The reason is because a pay day loan advance is quite expensive to service and getting quick cash into your hands comes with a price. For those with debts, it is important to explore other available options first to avoid costly debt traps. Those individuals unfortunate enough due to excessive debt have a number of ways to deal with the problem.

Borrowing from family and friends


While this is the default borrowing option for some, a good number see it as a very difficult way of raising money. Friends and money do not go very well and relationships are broken if the loan goes unpaid. No matter who the person is, the hard lesson is that your relationship changes forever. 

Debt consolidation


Through this facility, a single loan is used to help deal with all the glaring bad debts. Debt consolidation allows a person to manage all debts effectively. Having debts from so many creditors make it rather hard to track or manage payments and budgeting is next to impossible. 

Creditors’ negotiation


Some people almost go bankrupt as a result of too much debt and negotiations with creditors is a wonderful idea. The creditors can reduce the owed amount towards a full payment. It is also a better idea if your debt amount is large and you owe multiple companies a hefty sum of money. 

Bankruptcy


Once you have exhausted all the other available options, it is hard not to file up for bankruptcy. In turn, you become radioactive in the financial and business world and cash advances and no one really want anything to do with you. A bankruptcy changes your life completely, thus should be the last resort. 

Credit cards


Sometimes people find it convenient to have multiple credit cards they use to pay college fees for their children, buy new cars, home amenities, clothes and basically anything they desire ending up with a seemingly insurmountable credit card debt. While many end up with ever increasing interest rates and loans, it is possible to completely pay back your credit card debt. The best way of dealing with such a debt is lowering the interest rate and finding other ways of boosting your entire income, cutting expenses and using the additional money to expedite the payoff.

At times, the balances are on more than one card and the best idea is attacking the debt with the highest rates. Starting with the card with the smallest balance and clearing it fully might also give you the much needed psychological boost to also weather on and complete the others. If you have a good credit record, you can receive offers from credit card companies for zero interest when it comes to balance transfers, meaning you will pay the debt faster since the interest rate is eliminated for a period.


About Author

Mark is a business graduate working for a leading financial brokerage firm in Sydney. He occasionally blogs in his free time on how Jet Lending cash loans can help in getting much needed cash in troubled times and how to ensure you repay to avoid hefty penalties.

Wednesday, January 22, 2014

How the Government and Charities can Help Get you out of Debt

Wipe our Debt
Wipe our Debt (Photo credit: Images_of_Money)
Living under a mountain of debt is stressful, frustrating and can have a significant impact on your quality of life. Even though you may not think there's any help out there, you can get assistance with debt from area charities and even the government if you know where to look and how to approach the situation.

Debt Management: Where the Government and Charity Meet


Getting impartial professional advice regarding your current financial situation is the first step to becoming debt free. Counselors can help you negotiate with creditors, create a budget and do whatever else you need to do for financial solvency and get you on your way to alleviate that debt.

Debt services often charge fees, but you may qualify for free help through the government's Money Advice Service. Some agencies are operated by charities and charge low or no fees for helping individuals who qualify under their income criteria. According to the official services website of the UK government, the "Money Advice Service has information on organisations that can advise you about whether a Debt Management Plan is right for you.

Evaluate Your Circumstances From All Angles


In order to uncover every possible help resource, whether charity or government, you need to look at your current personal circumstances. If you're struggling with debt because you have ongoing medical issues and miss work, for example, you may be eligible for programs designed to help people under those particular circumstances or for those who have your illness.

Look at all the factors that are contributing to your financial situation while considering the big picture. You may not be considering buried circumstances that are causing you to struggle financially and that might cause you to miss avenues of help you qualify for. A little searching can definitely go a long way. 

Leave No Stone Unturned


Once you've identified everything that plays a part in your finances, start looking for outside help. Contact government agencies first, as many can point you in the direction of charities that can assist you even if you don't quality for any government programs. Don't assume you're not qualified for something until you've at least spoken to someone with that service or program.

Try information services, such as income support phone number, to get connected with government programs you may be eligible for. Ask government representatives about private programs you may qualify for whether you're approved or denied help.

Charities can be a little harder to pin down on your own, especially given how many have limited funding for advertising or may be struggling with outreach efforts. Prepare to do a bit of research to locate private agencies that can help you.

Check local online support forums for people in situations similar to yours to identify charity agencies you may not be aware of. Local government seats may have listings of charities that operate in the area. Use social media to check for charities in your area and to ask others if they're aware of any agencies if you feel comfortable doing so.

Make sure you follow application instructions and meet all the paperwork requirements for any government agency or charity you apply to. The sooner you turn in a completed application, the faster you'll get help.

Neal Bricker covers debt and financial topics related to seniors and others for various publications. He keeps up on current news and trends regarding services and debt management techniques.


Thursday, January 16, 2014

Do I Need to Declare Bankruptcy? Five Tips on Deciding if Bankruptcy is the Answer

As a business owner who has poured his or her heart and soul into an effort, it can be quite difficult to determine if bankruptcy is the answer for your business – in effect, it is closing a chapter in your life. Deciding to give up on your business and declare bankruptcy is always a tough step, but if you do your research you can be sure that you are making the best decision for yourself and your company. Here are a few criteria which can help you determine if bankruptcy is the right course of action for you.

Have you lost your passion for the business?


If you do not have the same fire for the business that you had in the beginning, then you will not be able to overcome the financial hurdles that you will need to in order to bring the company back to profitability. If you have lost passion, then it is time to cut the cord. If you are still highly devoted to your company and want to try other options to stay afloat, then it might not be time for bankruptcy.

Are the finances insurmountable?


If you have consulted with reputable, trusted financial advisors and you have multiple opinions saying that there is no way to return to profitability, then you may want to consider declaring bankruptcy. However, only consider this if you have multiple opinions telling you the same thing about your business. If you are still not sure that this is the right option for you, get a second opinion and look into other debt consolidation options.

Has your schedule changed?


Do you have less time to invest in your company than before? There are many life events that can completely change the schedule of an individual. Businesses take time to turn around, if you do not have this time, then it may be time to move on to other endevours.

Are you beginning to sell long term assets for short term fixes?


No financial advisor will ever tell you to trade long term assets in order to pay off short term debts. When your business begins to eat into your long-term savings, then it is time to stop investing in it and possibly declare bankruptcy. You don't want to risk losing everything and your future financial freedom for a short term fix.

Is bankruptcy the best legal option for you?


There are many ways to pay back creditors other than bankruptcy, many of them with less long-term financial repercussions. You can try to consolidate your debts or to settle them. Sometimes even those options won't keep your afloat though. According to an expert from Abakhan & Associates Inc, bankruptcy may actually be the best option for you under certain circumstances. You should consider a consultation with a reputable bankruptcy lawyer to discuss your options before declaring bankruptcy in BC.

Declaring bankruptcy is a decision that should not be taken lightly; however, time is of the essence when you are considering the future of your business as well as your life. Make sure to get expert opinions as soon as you can so that you will have the information to make an informed decision about how you should move forward with your financial life. Make sure that you get professional advice right away so that you don't dig yourself deeper and deeper while you are making your final decision.


Saturday, January 4, 2014

Grounds for Seeking Business Debt Help

Financial mistakes are a common thing that takes place when you run a business of your own. No single entrepreneur can run a business successfully without making a single financial mistake throughout his life. Mistakes happen and we learn from that. However, there are times when it gets very difficult to find out the correct way to come out of financial debts. The amount of debt sometimes keep accumulating wherein they reach such a point that it becomes way beyond your affordable limit to pay off the debt to the creditors. In such a situation, it is extremely necessary that you seek for a business debt help from a well-known debt consolidation company.

Top Reasons for Taking Business Debt Help


You might be having sleepless nights as the creditors are continuously chasing you for money. You are getting harassed day in and day out. The situation has reached a level where your creditors won’t stop harassing you until they receive their money back from you. Arguing with them is of no use as the calls keep coming from the customer care department and every time it is a different person who you have to deal with.

Bearing harassment regularly is something which is too disgusting and hence it is better to reduce the creditors. The best way for you would be a commercial debt negotiation with your creditors so that they come to an agreement to sort out your debt issue. This will stop the harassment right away.

On contacting one of the debt consolidation companies, you will be able to bring some reduction in your high rate of interest. They are the right people who can negotiate with your creditors on your behalf. It is very important as they will help you largely in getting your interest rate reduced quickly so that you can pay off the debt faster.

Debt consolidation companies come to big help as they can play a vital role in reducing your late fees and limit the same. They through their years of experience have learnt how to deal with the creditors and will do everything possible in order to get you out of your debt related problems.

The precarious financial situation stands as a hindrance for many individuals as they do not have the money to pay off the debts. This is where you can take business debt help from a debt consolidation company who will negotiate in their way to bring some reductions in your payment plans that is completely suitable for your situation.

The debt consolidation companies also offer you with a plan keeping into account your income and expenses, and your creditors whereby they try to offer you as much as help possible in order to save your maximum money.

You have to pay a certain amount of fee to the debt consolidation company for their suggestion. Some of them won’t charge you anything for their initial consultation. So fetch one of them and resolve all your debt issues instantly today! What are you waiting for?


Tuesday, December 17, 2013

Dangerous Business of Non-profit Debt Consolidation

Wipe our Debt
Wipe our Debt (Photo credit: Images_of_Money)
These days a large number of people are in debt. Some of them are in a deeper hole, while some are beginning to get stuck in the never ending cycle of debt repayment. Loan may provide you with funds required to fulfill your immediate demands, but the normal human attitude towards money is to spend it when you have it, and beg for more afterwards. Be it begging for time or money, after all, time is money!

This may not be something everyone wants, but the problem of debt is faced by almost everyone at some point in their life. These days, loans are taken right at the time when one is very young and he or she would get stuck in the debt repayment cycle for a very long time.

There are times when people need immediate action to solve the problem of debt payment. Suppose you are in debt, you have to pay $50000 by end of 3 years. If you default on repayment, you risk losing your house or car, whatever it is. This is where two options are usually seen, one is to borrow more money so you can pay off the other creditor, or go to a debt consolidation company who would extend your repayment period and also reduce the interest rate.

These debt consolidation companies have their own fees, which might just be an additional burden on you. But there are also these non-profit debt consolidation loans companies which charge absolutely nothing to you (At least that is what everyone thinks). Not all companies that use the tag non-profit are all honest and care for the people. They can scam you right away and you will be in an even deeper hole.

Such debt consolidation companies often advertise how quickly they would remove your debt by reducing you interest rates and the amount you pay. Often they tell you things which are too good to be true. There can be testimonials from people who are smiling and telling you how quickly their debt was cleared. But there is always a catch which can dig an even deeper hole in your bank account.

Signs of a Good Nonprofit debt consolidation company
  • Nonprofits should charge a very small amount of fee to setup your account and other stuff that is required. A nonprofit debt consolidation company who charges no fee and promises to fix your debt problem should be carefully examined before dealing with them.
  • Ask for a nonprofit organization license issued by the government or the state government. Most of the states require all nonprofit organizations to have a license to operate. Not having one would apparently look like some shady business and it is advisable for one to stay away from them. 
  • If any debt consolidation company promises you to get you out of debt very fast, then they are lying. Stay away from them! Getting in the debt took you time, and getting out of it would require time too! Considering that you are at a tipping point is the reason why you went to a nonprofit debt consolidation company, i.e. you are in a deep hole. Filling a hole deep enough requires time. 
  • Check out online reviews for all the nonprofit debt consolidation companies that you have on your list. If you need to make a choice, there is a very great website known as BBB (Better business Bureau). All you have to do it enter the organization name and check out their reviews.
Remember, no consolidation company is going to miraculously make your debt go away. It takes time to get out of it. Spend the money wisely, and choose a good debt consolidation company to pay off your debts.


Thursday, December 12, 2013

3 No Credit Check Loans That You Must See

Are you desperately in need of a new loan? Do you believe that your credit rating will be a problem? If so, do not panic, there are a number of options out there for you, all of which tick the full range of financial boxes.

Finding the Best Option For You


With so many options currently available and opinions on some of these no credit check loans varying wildly, it can still be a confusing time for borrowers. Finding the best and most affordable option for you is crucial and below we have identified 3 of the most popular to give you a little insight into the facts that you need to know.

Guarantor Loans


Although the concept of the guarantor loan has been around for a very long time, it is only recently that their popularity has begun to increase.

Guarantor loan lenders are prepared to look past the credit rating of the loan applicant but only on the proviso that the applicant identifies a third party (the guarantor) who will co-sign the loan agreement, guaranteeing that they will pick up the repayments should the applicant fall behind.

There are obviously some criteria which the potential guarantor must satisfy in order to be eligible for the role, age, residency, income etc but if they tick all of the boxes, there is every chance the loan application will be granted.

Popular choices for guarantors include family members and close friends, but whoever is asked, must understand the agreement into which they are entering.

Because guarantor loans are unsecured personal loans, they can be used for whatever (legal) purpose the borrowers deems fit. Often used as a method of debt consolidation, they can just as easily be used to buy a new car or pay for a holiday.

Payday Loans


Payday loans have had a rough ride in the press recently, and if used irresponsibly, the bad press is not without reason.

A payday loan is a short-term advance designed to tide you over financially until payday, with a strong emphasis being placed on the phrase ‘short term’.

If used as intended, they can be the perfect short term fix for anyone who cannot turn to a high street lender. It is only when they begin to be used over longer terms that they begin to be very expensive and potentially dangerous.

Payday loans are typically paid directly into your bank account and nearly always within 1 day of your application being approved. The payday loan repayment, plus interest, will then be deducted directly from your account on the due date.

It is always worth remembering that a typical charge for a payday loan will be approximately £25 per month for every £100 borrowed. Advertised interest rates (APRs) are generally around 1,750%.

Logbook Loans


Logbook loans are a different type of no credit check loan because the lender will insist on a form of security.

Falling between guarantor loans and payday loans in regards to the level of APR which is charged, lenders are prepared to look beyond the credit rating of the borrower if they are prepared to offer the logbook of their vehicle as security against the balance of the loan.

If the loan is repaid in full and on time, the logbook will be returned at the end of the loan period. If however this is not the case, the lender will be quite within their rights to sell the vehicle to recoup their losses. It is even possible that if the losses do not cover the outstanding balance, the borrower will still be liable to make any further outstanding payments.

As with all financial matters, it is crucial that you do the appropriate homework to ensure that you enter into the agreement with an open mind and your eyes open. This will help you to make the best decision for your individual circumstances.



Wednesday, December 11, 2013

Getting Out From Under the Mountain of Credit Card Debt

Credit cards Français : Cartes de crédit Itali...
Credit cards (Photo credit: Wikipedia)
We all know that credit cards are a convenient way to pay for purchases when you're on the go or in between paychecks. According to The Nilson Report, as cited by Forbes, credit card transactions made up for a little over half of total consumer spending in 2012.

Unfortunately, those very benefits also make it incredibly easy to find yourself under a mountain of debt that could take years to pay off. To top it off, you're losing money each month in interest and fees as you pay the balances down. With a little planning, you can chip away at your credit card debt much faster, but you'll need to decide which approach works the best for you first.

Snowball


The debt 'snowball' approach to credit cards is fairly simple. Determine a budget and decide how much extra you have each month to put towards credit cards while covering all your other expenses. Cut out unnecessary spending, such as restaurant meals, as much as possible for now so you have more to put toward your debt clearance.

List all your credit cards in order of total balance from smallest to largest. Each month, put all the extra money you have toward your smallest card and only make the minimum payments on the rest. Once a card is paid off, apply the minimum payment for that card to the next card on the list in addition to whatever you're able to apply based on your budget. As you work your way through the list, you'll see the 'snowball' effect as your payments become larger and larger, working the debt down faster and faster.

The debt snowball method is beneficial in that it's easy to follow, and the results you'll see will encourage you to stick with it. But you may not be paying the debt in the most advantageous way regarding interest using this method.

Interest Order


Under an interest order approach, you'll still need to make a budget to determine what you can afford to put toward your debt, but you're changing the payment order. Instead of listing debts by balance, you'll list the credit cards in order from highest APR to lowest APR. The interest method saves you money by reducing higher interest balances faster, but it isn't as simple as the debt snowball.

Before you commit to a method of credit card debt elimination, try to decide which method is most likely to keep you motivated over the long term. While you can save more over time using the interest order method, it may not be ideal if you're the type of person who needs more immediate results to keep yourself on any sort of program.

On the other hand, if you're a numbers person, the interest order approach may work better for you than the debt snowball method because you'll be keeping a tally of your savings. Regardless of which way you decide to go, make sure to cut as much spending as possible to work down your debt quickly. 


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Monday, November 25, 2013

Safely Build Up Your Credit with These Five Easy Tips

If you have bad credit, or no credit at all, then you probably know that it can be difficult to make life-changing decisions like buying a house. Without the necessary credit to make a mortgage or loan possible, you will be bound to buying and investing in things that you can only pay for up front - which can be frustrating when you need a house or car. While you can take out a massive loan for no reason, or spend ridiculous amounts of money on a credit card, here are a few safer ways to build your credit over time. Just keep in mind that any credit score is about long-term reputation rather than short term spending. 


Use a Credit Card for Groceries


Did you know that you can use your credit card for your every day purchases to build credit? Try paying anything from your rent to your groceries on your card and then make payments to help build your credit. If you shop around and find a card that offers rewards like air miles, or that doesn't charge interest if you pay by a certain day of the month, then you aren't really costing yourself anything, and might even be racking up some free vacation time. The important thing in this case is to choose your credit card carefully because the wrong one will still charge you interest that you probably don't want to pay. 



Pay Your Bills on Time


No matter how many bills you have it is important to always pay them on time. In fact, this is probably the most important thing to consider when building your credit. Late payments go on your permanent credit history and they are a huge red flag to lenders. If you can't afford all of your payments every month then try getting a consolidation loan, looking for a room mate, or, doing whatever else you can to lower your monthly payments. Paying on time every month shows that you're responsible and you know how to handle debt, which makes you a better candidate for a loan or mortgage in the future. You also want to make sure that you don't have too many payments when you go to apply to a loan, as this will work against you. Instead, evaluate your payments, pay off the smaller bills first, and go into a new loan with as few previous payments as possible. 


Start a Regular Bank Account and Save


Starting a savings account won't do anything for your credit score, but dropping money into a standard bank account builds your credit score and your ability to get a loan. By saving a portion of your income every month, even if it's a very small part, you can show lenders that you have extra money, that you know how to handle your budget, and therefore improve your chances of being approved. While you won't earn interest on a regular bank account, you do improve your credit score, and that's what counts. After all, most savings accounts don't offer very good returns anyway. 


Co-Sign


Co-signing for a credit card, a loan, or just about anything else gives you a distinct advantage when it comes to taking out a loan. A co-signer allows you to take out a loan without relying solely on your own credit, meaning that you can take out a larger loan or qualify for a mortgage that you might not otherwise apply for. In most cases, your co-signer should be a direct family member and preferably with the same surname as you. Your parents, grandparents, or siblings are all great candidates to co-sign for you so long as they themselves do not have a bad credit score. Keep in mind that the person you co-sign with will have at least some access to your bank account or mortgage and that they are held responsible if you don't pay your bills. 


Take Out a Short Term Loan


Did you know that you could get a short-term loan to improve your credit? Taking out small loans and then paying them off quickly allows you to improve your credit score without taking a huge risk. For example, a payday loan is a great way to go because you can pay it off very easily within a few months. Most importantly, you don't necessarily have to have good credit, or any credit at all, to qualify for a payday loan, so you can use them to start improving a credit score in order to qualify for bigger loans.

A good credit score can help you out when you have to borrow money for something big, but getting a credit score means borrowing money, making payments, and keeping your debt level as low as possible. When you do take out a loan or borrow money, make sure it's something that you can pay off quickly so that you can improve your credit without racking up a long-term bill. There are plenty of ways to improve your credit, some of which are safer than others, but you should always research each option first to make sure that it will work for you.



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