Having personal debt hanging over your head during the holiday season is not a good feeling. But it doesn’t have to stay that way. The end of the year is the perfect time to regroup, figure out your next moves, and make any moves you’re currently able to so that you can get your personal debt under control. That being said, where do you get started? Here are a few helpful tips on how to get your personal debt in check before the year-end.
Get the Support of a Debt Relief Expert
Dealing with debt all on your own can be difficult. That’s why it’s a great idea to reach out to a debt relief expert. They’ll work with you to better understand the scope of your personal debt, help you identify solutions, and be there as you work to ease your financial burden. Professional help is always a viable way out of debt.
Create a Budget That’s Debt-Repayment Focused
Budgeting with debt in mind is a great way to start making sure your debt is being managed as effectively as possible. As of right now, you may only have a minor area carved out in your budget for debt repayment. Ask yourself, what can you do to make that bigger? Could you dedicate some of your other spending categories to paying off debt? Could you slightly decrease some spending to free up funds for debt? Are there ways to boost your income so you can tackle debt with less difficulty?
Budgeting helps you make a realistic plan of action for debt repayment, which is crucial to getting it in check.
Reach Out to Your Creditors to Ask for Better Repayment Terms
If you’re dealing with financial hardship, you’re not alone. Many Canadians are also struggling with debt. That’s a considerable number. What many may not know, however, is that you can negotiate with creditors. How? Reach out to them to tell them more about what you’re experiencing and inquire further about whether they could potentially help. Whether it’s a temporary halt on interest rates or lower monthly payments, some creditors may be willing to work with you in order to make your debt more manageable. After all, they’re still getting paid either way.
Consolidate Credit Card Debt
Credit card debt is a form of debt that can easily become a challenge. If you have multiple cards and you’re near your limit on all of them, it may seem like there’s nothing you can do. But one way to better manage credit card debt is through a balance transfer card. With a balance transfer card, you shift multiple balances over to one card in order to make it easier to pay off. Many will offer 0 percent APR for a few months or even longer to give you a head start on paying off your debt. It can help you get your personal debt in check quite easily.
Don’t let your new year start with more financial stress. Use the tips above to get your personal debt in check before the year-end so that you can be more hopeful for the future.