|
|
|
Anatomy of an International Debt Collection Case
Introduction In late June of 2003, I received an e-mail from Daniel Harris, who introduced himself as maritime lawyer from Seattle. He had found me through the internet and was asking me whether I was interested in helping arrest transshipped...
Debt Consolidation - What it is and how it works
What is Debt Consolidation?
Debt consolidation in the UK is the process where a debtor takes
out a single loan to pay off other existing loans. This can be
done to secure a lower interest rate, and hence make lower
monthly repayments, or to...
Debt Counselling – Healing Touch For The Ailing Finances
The financial stories remain similar over the months and the years. With debts becoming a nuisance, people make resolutions and resolve to stand by these resolutions. But, once on a spending spree, little do they care for the resolutions that they...
New Options for Business Debt Consolidation
WeSolveDebt.com provides new ways to stop debt in the current
economic downslide.
San Diego, CA--An innovative debt consolidation company
located in Southern California has helped a growing number of
companies and individuals...
What you need to know about debt negotiation on credit cards
Debt negotiation on credit cards is often referred to as credit card debt settlement. Whenever you make a credit card payment- or even pay your utility bills- it usually gets reported to one- or all- of the three main credit agencies. This...
|
|
| |
|
|
|
|
|
|
Loans are not just for Christmas. Surviving the holiday debt hangover.
Christmas is coming - A time for decorations, songs,
over-eating, gift giving, visiting the family, consumer spending
and the increasing of personal debts. Bah humbug.
While most people see Christmas as a joyful period there are
many who see it as a time of financial worry as they cannot
afford to buy presents for everyone. For these people it is
often the doorstep lenders who will be getting fatter rather
than them and their family. The temptation is to simply put the
expenses on the credit card or take out a loan to be paid back
on the never-never. Unfortunately this can lead to disastrous
results in the long-term, as the recent increase in the number
of repossession order applications are testimony.
There are a few simple rules can help to prevent a post festive
period financial hangover though.
Firstly, don't ignore the problem. The longer you leave a debt
problem, the worse it will become.
If things seem desperate then contacting a free organisation
such as National Debtline (0808 808 4000) can help by giving
debt advice over the phone, or by providing booklets and fact
sheets, as well as helping to set up personalised debt
management plans.
Next, maximise incomings and minimise outgoing expenditures.
Look out for anywhere costs can be reduced. Online retailers
don't have to pay for expensive premises, and so buying presents
online rather than in the shops is often a great money saver. Be
alert for shop sales and make the most of them.
If you already have debts, then you need to be wary of borrowing
more money without some serious consideration and qualified
professional independent financial advice.
Taking out a low rate secured loan to cover previously unsecured
debt may seem like a sensible idea, however, should you fail to
meet the payments you could lose your house. If you have
unsecured loans, your home may not be safe either. Debt
counselling charities have recently become increasingly alarmed
regarding a growing trend by some of the high street lenders to
issue "charging orders" on borrowers' homes in order to recover
bad debts. This means that by going through the courts, the
lender can change an unsecured loan agreement converting the
debt to be secured on the borrower's house, whilst still
charging unsecured interest rates. A consolidation loan may seem
sensible; however this will mean borrowing more money, over a
longer period this will mean more interest to pay in the long
run.
If you decide to take out a loan, then you need to ensure that
you are getting the best rate that is available. The big banks
like Barclays have
online facilities showing their current rates , and other online
finance companies such as Moneynet provide free facilities to compare rates
for hundreds of secured loans, unsecured loans and even adverse
loans.
Never use a doorstep lender no matter how desperate
things seem.
Radio 4's Money Box recently highlighted the plight of people in
Southampton where the typical doorstep lender's APR was a
massive 177%. For people on low incomes trying to regain control
of their finances, this will lead to further problems and cause
existing debt to spiral out of all control. Recent initiatives
for people who have had problems getting affordable credit,
known as Community Development Finance Institutions (CDFIs),
have started springing up around the country. These are funded
by a collaboration of public and private money including some of
the major banks, and specialise in providing personal adverse
loans and small business loans to people who have previously
been turned down by the banks. CDFIs usually charge an annual
interest rate of up 24%, which is higher than many standard
non-adverse high street loans due to the increased levels of
risk and additional advice involved with this kind of lending
but it is also much lower than the unregulated alternatives.
When you look at paying off existing debts, you need to decide
which are the most important and deal with your priority debts
first. Ensure mortgage and rent bills are covered first, next
pay off essential utility bills and council tax, before trying
to pay off any unsecured loans.
As well as reducing any monetary outgoings, it is also important
to ensure that you are getting all the incoming money that you
are due. Checking with the local Citizens Advice can be useful
for help on debt, benefit, housing, legal, discrimination,
employment, immigration and consumer issues. They will be able
to advise you on most areas of concern, including whether there
are any government payments to which you could be entitled.
Debt problems can seem insurmountable at the best of times, but
over the Christmas period it can become completely overwhelming.
Start by maximising your incomings, minimising your outgoings,
and careful budgeting and purchasing. Ensure you are getting the
best loan rates through free online information comparison at
sites like Moneynet, and speak to free independent advice
services like National Debtline and Citizens Advice; it is
possible to retake control of your finances and have a happy
Christmas.
Disclaimer: All information contained in this article, is for
general information purposes only and should not be construed as
advice under the Financial Services Act 1986.
You are strongly advised to take appropriate professional and
legal advice before entering into any binding contracts.
Useful resources:
Moneynet
loan comparisons
Barclays
loans
Released by bigmouthmedia
About the author:
Richard lives in Edinburgh, occasionally writing for the
personal finance blog Cashzilla, and listens
to music no one else likes.
|
|
|
|
|
| Advertisements Promising Debt Relief May Be Offering Bankruptcy |
| Cautions consumers about ads in newspaper, magazine and telephone directories that offer quick fixes for debt problems. |
| www.ftc.gov |
|
| Welcome to Debt Relief International |
| Welcome to the web site of Debt Relief International. |
| www.dri.org.uk |
|
| Debt relief steps, your free guide to debt help. |
| Articles on debt relief, and credit management and repair. |
| www.debtsteps.com |
|
| Factsheet - Debt Relief Under the Heavily Indebted Poor Countries ... |
| The HIPC Initiative is a comprehensive approach to debt reduction for heavily indebted poor countries pursuing IMF- and World Bank-supported adjustment and ... |
| www.imf.org |
|
| Special report: debt relief | Special reports | Guardian Unlimited |
| February 6: A year ago the Guardian set out to track the west's promises of action for Africa on aid, trade, health and debt relief. As G8 finance ministers ... |
| www.guardian.co.uk |
|
| Debt Relief Options - Findlaw for the Public - |
| Welcome to Debt Relief Options. This section contains information about the ... To begin, select one of the Debt Relief Options topics from the list below ... |
| bankruptcy.findlaw.com |
|
| William Brewer |
| The Brewer Law Firm. William E. Brewer, Jr., Attorney at Law Board Certified Consumer Bankruptcy Specialist. 619 N. Person Street Raleigh, NC 27604 ... |
| www.debtrelief.com |
|
| Debt Relief - InCharge Debt Solutions |
| There are many ways to get out of debt, for good, and it may be easier than you think. The first step is knowing your options, the second step is taking ... |
| www.incharge.org |
|
| Economic Policy and Debt |
| May 2006, IMF And World Bank Support Cameroon’s Completion Point Under The Enhanced HIPC Initiative And The IMF Immediately Grants 100 Percent Debt Relief ... |
| www.worldbank.org |
|
| Economic Policy and Debt - The Enhanced HIPC Initiative |
| The Initiative’s debt-burden thresholds were adjusted downward, which enabled a broader group of countries to qualify for larger volumes of debt relief. ... |
| www.worldbank.org |
|
| Debt relief - Wikipedia, the free encyclopedia |
| Debt relief is the partial or total forgiveness of debt, or the slowing or stopping of debt growth, owed by individuals, corporations, or nations. ... |
| en.wikipedia.org |
|
| Debt Analyzer, Debt Reduction Software, Home Page |
| Debt Elimination at its best! Potential savings of hundreds or thousands of dollars! Build debt reduction, timed elimination or consolidation schedules. |
| www.debtanalyzer.com |
|
| Superior Debt Relief |
| We help you get rid of credit card debt much faster than you may believe possible with credit card debt settlement and negotiation tactics, providing debt ... |
| www.superiordebtrelief.com |
|
| Debt Relief - Social and Economic Policy - Global Policy Forum |
| Aid Inflows, Debt Relief Yet to Translate into Reduced Poverty (March 20, 2006) ... Fearing that the IMF could tie debt relief to economic benchmarks, ... |
| www.globalpolicy.org |
|
| Debt Relief - Global Policy Forum - Social and Economic Policy |
| Debt Relief - Global Policy Forum - Social and Economic Policy. The Debt Relief Page Has Been Moved to: ... |
| www.globalpolicy.org |
|
| BBC NEWS | Business | Q&A: African debt relief |
| BBC News looks at the progress of international debt reduction efforts, and the sticking points which continue to hamper the process. |
| news.bbc.co.uk |
|
| Debt Relief Australia - Start Reducing Debt Today! |
| Debt Relief offers Australians in debt assistance with finding the most appropriate debt relief solution. |
| www.debtrelief.com.au |
|
| Debt Consolidation Australia, Debt Relief & Bankruptcy Information |
| Specialising in debt agreements, mortgage refinancing and bankruptcy. Company profile, calculators, solutions, media releases, testimonials and existing ... |
| www.foxsymes.com.au |
|
| Oxfam - Debt and Aid - Debt Relief for Nicaragua: breaking out of ... |
| Oxfam policy paper on relationship between international debt servicing and poverty. Linked to table of contents and also zipped for download. |
| www.oxfam.org.uk |
|
| What debt relief means for Africa | csmonitor.com |
| This weekend's $40 billion debt cancellation deal could spark major improvements in the lives of the world's poorest people. |
| www.csmonitor.com |
|
|