How do I… deal with my creditors?

When you are in debt and beginning to struggle with the repayments, you may find that your creditor(s) increase their communication with you. At Payplan we hear a lot of people say that they are unable to cope with the constant contact from their creditors or they don’t know how they should be dealing with them.

This blog is going to look at ways in which you could deal with your creditor(s) to make the repayment process as stress free as possible.

When you take out credit, whether a credit card, store card, overdraft or loan, you sign a credit agreement to say that you will maintain contractual payments towards what you borrow until it has been paid in full.

Creditors are aware that unforeseen circumstances occur; such as redundancy, illness or additional expense. If something happens and you suddenly find yourself unable to make your monthly payments, it is extremely important to contact your creditor(s) as soon as possible to inform them. By doing this you can discuss with them how you are going to proceed with future payments. If your situation is going to last longer than one month, to avoid your creditor(s) pursuing legal action against you, you should come to an agreement to make reduced payments until you find yourself in a better position.

Most high street lenders have the capability to deal with customers that are in financial difficulty, so by speaking with them you could get advice on how to deal with your debts. Payplan have a good relationship with a lot of these lenders, and they often direct their customers to us for free to client debt advice.

As well as maintaining contact with your creditors it is important to maintain some form of payment to them. We would usually recommend our client send in whatever they can reasonably afford.

To conclude, when you find yourself in financial difficulty it is always recommended that you keep in contact with your creditor(s) at all times and to maintain small payments.

If you find yourself struggling, it is important to seek help as soon as possible. You can speak to one of our trained specialists on 0800 2945205 or fill in our online referral form and we will call you back.

Written by Gemma on April 27th, 2012

Filed Under  debt advice, Payplan   |  Trackback  |   Leave a Comment

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Posted in: creditors