There are certain things that everyone has to go through at some point in their life. The loss of a loved one, earning your first paycheck and getting into debt. The last one seems like something that could potentially be avoided; unfortunately, however, it is not. Increasingly, more and more people are getting ever deeper into debt. Student loans, car loans, home loans, credit cards; all of these things are conspiring against you to keep you in the hands of creditors. So what can you do? Fortunately, there are some debt solutions of which you can take advantage. If you live in Moncton, New Brunswick, we’ll outline some of the systems you can use to help you get out of this financial pit of despair.
One of the best debt solutions in Moncton, NB is to go to a debt consolidation service. This is what’s known as a Consumer Proposal, and it is when you consolidate all of your different payments into one. Using a proposal, you can have a service, typically a lender, agree to pay off your individual debts themselves, leaving you with one monthly payment to the consolidation service.
To put this in practical terms, let’s say you have three credit cards with balances of $2000, $1000, and $1500. Additionally, you have a car payment of $400 per month. In total, you are looking at monthly payment rates of about $750, paying each item separately. Using a consolidation service, you can reduce your payments to about $350 per month over the next several years. This allows you to pay everything within a predetermined amount of time, and your current creditors are paid off immediately. In Moncton, NB, there are several consolidation services providing this type of debt solution, such as Powell and Associates, Ltd.
If your debts are too high, even after consolidation, then bankruptcy may be your best course of action. To file for bankruptcy, you must contact a trustee who will freeze your debts and thus relieve you of the burden of paying them off. When filing, you must provide a comprehensive list of all your debt, including the creditors information, to the Trustee. Any assets you have that have not been paid off are liable to be seized by the creditor upon bankruptcy. However, if you wish to keep these assets (such as a car or home), you must still pay them off after filing. If you want to know what assets are protected by law or what you can do to keep them, talk to your Trustee about your options.
If you are suffering financial setbacks, there are debt solutions available to you. Whether you are in Moncton, NB or elsewhere, solutions such as consolidation or bankruptcy may be your ticket to a better financial future.
Be the first to like.