Many people who have debts conceal this from those around them. Even close relatives outside the family are unaware of the problems. Having debts in itself does not have to be a problem. Taking out a loan to make a necessary major purchase can sometimes offer a solution. It is wiser to start saving first, but in some situations there is no other option. In these types of cases it is wise to have only one debt instead of multiple creditors. Having debts with mail order companies and on credit cards is very unwise. These parties charge very high interest rates. As soon as problematic debts have arisen, it is wise to also inform those around you.
Help with debts
People with problematic debts have actually waited too long to seek help. Major problems are difficult to solve. This is often caused by a lack of overview. People are not well informed about their own financial position. From one day to the next it turns out that there are large debts. You can contact the municipality for free assistance to help you get things back in order. You should not wait until bailiffs have been called in to do this. From that moment on, there are hardly any options to get your finances back in order.
Bury your head in the sand
Families that are in financial difficulties often go into hiding. They stop opening the mail and try not to think about the problems. This is very dangerous because bigger problems lie in wait. In most cases, the debts have arisen because families handle money poorly. The bad habit continues and the consequences become greater and greater.
It is best for someone who no longer has the overview themselves to ask someone from their family or circle of friends for help. Not in the form of money, but these people can help you at least regain the overview. Outsiders also look at your spending pattern with different eyes and can correct you. Simple measures that can save a lot of money every month are canceling subscriptions, going out less, canceling lotteries, eating out less, going to cheaper supermarkets and discontinuing pointless savings insurance policies.
Get help from a debt counsellor
You can also seek professional help through various debt counselors. They will first list your finances to find out where the problem lies. The monthly costs must be reduced to a lower level. The debts must be paid off with the money that becomes available each month. However, this is only possible if the debts are not yet problematic. Debts for which bailiffs have already been engaged can only be resolved by paying off large amounts in one go. You can do this by making good agreements with one party and borrowing extra money. You can use this money to pay off the other creditors. A problem in this case is that banks are no longer eager to give you extra money due to the negative registration with the BKR.
How much does debt assistance cost?
You should not engage with companies and organizations that charge you money for their services. This form of assistance is free.