This is a guest post by One Advice at oneadvice.co.uk. One Advice is one of the longest established debt solutions practices in the UK. They offer a full range of financial solutions all under one roof offering ethical debt advice and allowing clients to find a financial management plan which best suits their needs.
Seeking debt advice is no longer uncommon in today’s society, and the number of people who are seeking debt advice is growing more and more. This problem is worldwide as well; the average amount of debt owed by every UK adult now stands at a staggering £30,480 (including mortgages).
There are a number of debt management companies out there which are designed to help you with your debt. But do you really need debt advice or can you get back on the financial track alone?
Is it time for debt advice?
The credit crunch means that more people are under pressure from creditor demands due to increasing levels of personal debt. This is why there has been an increase in those who are seeking debt advice.
0% balance transfers: If you have multiple debts which you can’t seem to get rid of because of the interest and charges which are being added, you may want to think about a 0% balance transfer. Keep your eye out for offers as these are becoming rarer since the onset of the credit crunch and you will have to have a decent credit rating to be accepted. Also remember that the 0% interest is usually only for a promotional term, so think about whether or not you could afford to pay off this debt in this time scale.
Budgeting: One of the key reasons that many of us end up with unaffordable levels of debt is because of a lack of budgeting and spending more than their income. Getting a budget in place is a great way of understanding your true outgoings against your income and working your way to becoming debt free. It will allow you to cut back in the places where you are spending too much and rework your budget to use this money to pay off your debt.
If you find that your finances are in a mess and your debt repayments mean that you cannot afford to maintain a reasonable standard of living, perhaps you really do need to seek professional debt advice…
I REALLY Need Debt Advice
If you find it a struggle to deal with your debts and you feel as though professional debt advice is the only way forward, then you need to ensure that you get the right sort of debt advice so that you can work towards getting your finances back in order.
The internet can be a great place to start looking for debt advice. There is a wealth of debt advice available online (please be aware of the difference between debt advice from other countries, as the policies can vary).
One of the financial solutions which you may come across includes a debt management plan. A debt management plan is a debt solution for those who are struggling to repay their unsecured debt. This type of debt management allows you to consolidate debt without getting any further loans. You make a reduced payment to the debt management company based on what is affordable to you.
Remember that everyone’s financial circumstances differ, and even if you know someone who cleared debt through bankruptcy, this may not be the right solution to your debt problem. Always make sure that you get professional debt advice from a company who places its emphasis in giving ethical debt advice.
So what do you think? Would you recommend debt counseling?