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Debt consolidation and relief

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By: Good Nelly
on 12th Mar,2014

Otherwise, you would never be able to pay back your creditors or buy something or invest in different markets.


You can’t cut your debt quickly. You need to have patience and try to decipher the reasons why you’ve entered into financial problems. Did your debt repayment strategy backfire in a big way? Did you spend beyond your affordability? Well, reasons can be many and you need to learn a lesson from each of them. Once you’ve got a clear idea about the reasons, consider the following factors.

 

  1. Your monthly income: It won’t be possible for you to repay your debts or make investments until you know how much funds are remaining in your checking account every month after tax payments and meeting necessary expenditures. Find out the difference between what you’re earning every month and how much you’re left with at the end of month. This will help you realize if you’re able to save any money.

 

If you find that you’re unable to save money in every month, then its time to trim your budget and make the necessary cuts in your lifestyle. Otherwise, you would never be able to pay back your creditors or buy something or invest in different markets.

 

  1. Your current financial position: Pull your financial statements from files and folders. Read the financial statements and find out how much you owe on your mortgage, credit cards, student loans, hospital bills, etc. Open your note pad and write down the key financial details such as the interest rate, minimum monthly payment amount, the payment date, name of the creditors, total outstanding balance, etc. Once you get a clear idea about your financial position, you can start taking steps to fix the problems.

 

  1. Your affordability: Once you’ve clearly understood how much you earn, expend and save in every month, it’s time to check your affordability. This means you need to understand how much you can afford to pay your creditors every month. It is very easy to think that you’ll pay $1000 to different creditors every month, but reality is completely different. You may not have that much of money each month.

 

You have made all the calculations and you have the key financial details in front of your face. You know the difference between how much you can and you’ve to pay. If the minimum payment amount is too high for you, then you’ve to re-adjust your budget even more. Earlier, you stopped taking your morning coffee from your favorite café. Now you may have to forgo your lunch at the office canteen as well.

 

Don’t try to go beyond your affordability to get financial freedom fast. Too much haste is not good. Rather, it may lead you into serious financial problems once again. Don’t use your credit cards to reduce your outstanding balance. If you really want to accelerate the debt repayment process, then try to repay the loans with highest interest first.

 

A certified financial counselor can help you determine how quickly you must repay your bills. A qualified and experienced counselor can make best decision for your financial well-being. Just contact a credible counselor to fulfill your dreams and aspirations.

 

You have made all the calculations and you have the key financial details in front of your face. You know the difference between how much you can and you’ve to pay. If the minimum payment amount is too high for you, then you’ve to re-adjust your budget even more. Earlier, you stopped taking your morning coffee from your favorite café. Now you may have to forgo your lunch at the office canteen as well.

 

Don’t try to go beyond your affordability to get financial freedom fast. Too much haste is not good. Rather, it may lead you into serious financial problems once again. Don’t use your credit cards to reduce your outstanding balance. If you really want to accelerate the debt repayment process, then try to repay the loans with highest interest first.

 

A certified financial counselor can help you determine how quickly you must repay your bills. A qualified and experienced counselor can make best decision for your financial well-being. Just contact a credible counselor to fulfill your dreams and aspirations.

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