The green shoots of economic recovery are starting to show says the Government. More people are looking at houses for sale than for some time now. The decline in house prices is starting to slow down and prices are even showing signs of some stability.
However many households have been hit so badly during the credit crunch that all the comments about some signs of recovery, both in the press and on television,mean very little.
If you are not a homeowner, it will be virtually impossible to obtain a loan to consolidate all your debts. You may feel you can just manage to struggle on paying your credit cards, etc.
However if you have gone beyond this stage, and find it impossible to meet any of your debts, or perhaps only a limited number of them,you could consider a debt management plan.
With this in mind you have to contact all the companies to whom you owe money to ask if they will accept a lesser repayment each month for a certain period of time. It is likely that some of the companies will agree to this, while others will not.
That is when you would be better to contact a company who specializes in debt management plans, IVA's and Trust Deeds.
They have the experience and possibly better negotiating skills than you.
They should be able to get all the companies to settle for a smaller monthly repayment for a set period, as after all they are better to receive some payment from you than nothing at all.
This will really take the pressure off you.
However, it will affect your credit rating and your credit file will show that you have come to arrangements with your creditors, making it extremely difficult to arrange any finance for years to come.
However, if you are a non homeowner and struggling badly, so badly that your nights are mainly sleepless ,you have little alternative.
On the other hand if you are a homeowner, a debt management plan is not really the best way forward.
If you own your home, add up all the balances of your outstanding personal loans, credit cards, etc. and also ascertain how much they cost you monthly.If they total say £45,000 you should go online to find a specialist debt consolidation loan broker and obtain a quotation for a £45,000 debt consolidation loan.
You should find that to take out a debt consolidation loan to pay off all your other debts should cost you hundreds of pounds less than you are paying at present every single month.
Make sure that you can quite comfortably afford the debt consolidation loan repayment, and if you can you should continue to apply for the homeowner loan.
It is a much better alternative and will not adversely affect your credit score.
Champion Finance has been established since 1985, and as such this probably makes us the longest established finance broker homeowner loan marketplace. We arrange loans for all purposes and all circumstances for both employed and self employed homeowners. We do not arrange loans for tenants. Even if an applicant has an imperfect credit rating, we can still frequently arrange a loan for them. We also arrange whole of market mortgages and remortgages from all the main mortgage lenders such as Alliance and Leicester, C & G, R.B.S. The Halifax, Accord, etc. etc. Debt Management, Trust Deeds and IVA's can also be arranged.
http://www.championfinance.com
Article Source: http://EzineArticles.com/?expert=Liz_Moir
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