What are you giving up for lent? ~ Debt Managements and Consolidation

Written by Lizzy on Wednesday 9 March 2011

It is that time of year again where we all pledge to give something up for lent. We usually promise that we will stick to it, but after a week we give in. This year it is time to get rid of the negative outlook and give up something for lent that you can stick to as well as being something that will set you on the road to becoming debt free.

1.?????? Stop spending on credit cards

Credit cards can be a life saver in emergency situations and for one off purchases. But they are not good for everyday usage and if you can?t pay your balance off at the end of the month then it is hard to get out of the trap once you fall into it.

2.?????? Sort out your finances

Before you can become debt free you need to arrange your finances. You should make a list of all your creditors and how much you owe to each of them. You also need to make note of the minimum repayments and the APR% for each of them.

3.?????? Sort out your budget

Before you can do anything about paying off your debts you need to arrange what you have coming into the household each month; wages, tax credits, benefits, pensions. You then need to work out what you spend each month; mortgage, rent, council tax, gas, electric, water, shopping, clothes, childcare, fuel and insurance – basically everything apart from your unsecured debt repayments. By doing this you can see what you actually have left over at the end of each month to pay your creditors. This will also give you a good idea of what you are spending your money on each month and may highlight areas where you could cut back.

4.?????? Save money where you can

Start looking on comparison sites to see if you can get better deals on things like your gas and electrics bills or your home and car insurance. You could also shop around at different supermarkets to reduce your food bills.

5.?????? Ring Payplan

If you are struggling with debts then call Payplan. We offer free and impartial debt advice and we can assist you in setting up a repayment plan that is right for your situation and one that will help you become debt free.

If you are struggling with debts then please call Payplan on 0800 2802816.

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