Picture these scenarios: You run a busy clothing store and your only cash register just broke. Or the warm weather is coming up, and you need to hire servers for the patio. But you don’t have the cash to fix the register or hire the workers. In both cases, a...
What To Do When Your Debt Loan Is Too Much
The mountain of debt is an ugly one. It is a plague that starts small and harmless, but grows into an unbearable burden for many Americans. Here’s what to do when your debt loan is too much.
If you are struggling to make ends meet and you can only afford to pay the minimum monthly payment on your credit card, this is an alarming wakeup call – to get help. Let’s face it, ignoring a problem will not make it any better, it will make it worse and in the case of debt management, if you ignore your debt it will grow. So do yourself a favour and attack your debt head on with the help of a trained credit counsellor.
What to do When Your Debt Loan is Too Much
There are various debt management options available to Americans however not all are created equal. There are a few bad apples out there trying to make a fast buck. Do your homework and find a reputable agency for credit counselling.
When you are able to find a decent debt consolidation agency to help you manage your debt, they will get you on the right track with managing your debt. There are many different types of credit you can get help with:
- Credit cards
- Lines of credits
- Store cards
- Payday loans (depending on the agency)
- Unsecured loans
Debt management organizations are unable to help you with the following secured loans such as:
- Car loans
- Home equity loans
If your heavy burden of debt is becoming too heavy to carry anymore, know there are resources available to you to help you manage your debt so you can be debt free. While on a credit counselling program you will change your relationship with money. You will understand how to create a budget, save money for unexpected emergencies as well as how to live within your means. So get that monkey off your back and get help today. You can give a trained credit counsellor a call in.
FAQs about What to do When Your Debt Loan is too Much
How do you reduce debt?
You can reduce debt by consolidating it, paying off debt faster, or asking for debt forgiveness.
What is a good credit score?
Credit scores range from 300 to 850 and is a one-number reflection of your credit history. A high score says you’re a good investment and are likely to pay back your loans. A low score says you may not have the ability to repay debts or that paying them back is not the priority that it should be.
Should I close lines of credit I’m not using?
Typically, no. (It’s also not a good idea to request lower credit limits.) While these things may help curb your spending, it can actually hurt your credit score.
How long does negative information remain on a credit report?
Most negative information (like late payments) remains on your credit report for seven years. Some information remains longer.