Welcome to my new post series about money saving and finances, in this day and age money is in no way easy to come by. It always really upsets me when you hear about the number of people that need to use food banks including nurses, midwives and other professionally qualified people. How has the world come to this? In this series, I’ll be delving into money-saving “hacks” to find ways to save the pennies and get on top of your finances; along with help with what to do if things have gotten a bit too overwhelming.
Sometimes life gets on top of us, the bills mount up and it’s so easy to stick your head in the sand. We’ve all been there. I definitely have – when I was a student I lived in a poorly heated flat that was costing £150 a month for just electricity with only two storage heaters. Despite me asking them to check the meter, they refused and as time went by the bill went higher and higher and I struggled more and more to meet the payments.
Being in the red is such a horrible feeling, and it’s so easy to just take out a credit card or loan to buffer the time until payday but once you start spending, it’s hard to keep track. I know that when I use my credit or bank cards (especially with contactless) I feel like I’m not really spending the cash at all. Luckily I’ve managed to not create any credit card debt over the years.
But what if you have got too much debt and you don’t think you can ever pay it back?
“If you truly and honestly think there is no way out, you need to act now.”
Call all your utility companies and explain your situation – some have plans should you be in hardship so it’s always best to ask. Then you need to get yourself some advice, either from a financial advisor or your bank. Damage limitation is key. If you don’t want to do that then the other option is to seek out a debt management company such as Credit Fix (click here to see what they’re about). And the next step may be getting an Individual Voluntary Arrangement (IVA) and sign up for a Debt Management Plan (DMP). This is usually a last resort, as it affects your credit rating and ability to get credit whilst you’re under their umbrella.
Whats the take away message?
Try not to bury your anxiety about debt, be proactive and willing as companies will notice your eagerness to sort out your financial issues. If you need help, you must ask and Citizens Advice are always an avenue for support and information. You CAN get through this, and you are NOT the only one. But the longer you’re in denial the harder it is to dig yourself out of the hole.
Do you have any debt management tips?
Read the other posts in the series here.
*This is a collaborative post
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