When you are in trouble with money and need some help getting out from under the pressure, it’s time to turn to a professional to get help with Canadian debt counselling services. When debt begins to really hurt your financial life and you struggle to make your monthly payments each month, it might be time to seek out professional help, such as credit counselling services. A professional credit counsellor can meet with you privately for a personal meeting to discuss your situation and possibly make suggestions on how to manage your debt in the future. If you don’t feel comfortable going to a professional for help, there are a number of free options available to you. These include websites, phone calls, and even mailings.
If you go with credit card counselling, the counsellor will draw up a debt management plan (DMP) for you. The aim of this plan is to save you money over the long run by reducing your interest rates and penalties that might be tacked on to your balance owed on your credit cards. A debt management plan will usually take about three months to negotiate and complete, but the benefits can be felt immediately.
The debt counsellor will take your current financial situation, such as how much income you have versus how much expenses you have each month, along with your debts and other financial information into consideration. She or he will create a financial assessment for you, one that will explain to you what your options are, including whether or not you can meet your current financial situation with the DMP you have chosen. The financial assessment will inform you of the best way to proceed with your debts. In most cases, if you agree with the recommended course of action, the counsellor can then make contact with your creditors for you.
With a debt management plan, your creditors can be contacted less than once per month so it is easier on you to keep track of your debts. Your debts can be consolidated monthly. The consolidated monthly payment is then sent to your creditors in one payment. This payment will be lower than the combined amounts of your individual payments because your creditors will only receive one consolidated monthly payment instead of multiple individual payments.
A credit card debt solution that is suggested by the Canadian debt counsellor may include a consolidation loan. If you are having difficulty keeping up with your payments and you don’t feel comfortable with consolidating your debts, a loan might be the answer to your financial situation. The debt counsellor will take into account your current financial situation, your ability to make payments, and any other factors that could contribute to your financial situation before suggesting a loan. The loan will be offered to you with conditions that you agree with, including the amount you repay each month.
Debt counselling can be very helpful for individuals who are struggling with their finances. However, this doesn’t mean that all Canadians have the same situation. Everyone’s circumstances are different. Before you make a decision about debt solutions, make sure you consult a counsellor who can assess your personal financial situation for you. This way you can avoid financial problems in the future.
There are many advantages to using debt counselling over a Canadian debt consolidation loan. One benefit is that you will be able to get back on your feet quicker after completing the program. You will save money each month while making your payments more manageable. Another advantage is that you won’t have to worry about missing a payment. The counsellor will contact your creditors for you and arrange a payment plan. This way you can keep track of your money each month and never miss a payment again.
A third advantage is that you can use the money from the program to repair your credit rating and rebuild your credibility with your creditors. Once you complete the program and have successfully completed your payments, your creditors will often give you a second chance to pay back your debts. Your new status with your creditors can help you qualify for a more affordable monthly payment from your creditors if you were to apply to a lender that specializes in credit counselling agencies.