In all scary movies the monster is only terrifying as long as he is lurking in the shadows, sneaking up from behind and not showing his face. When the monster finally steps into the light and we can get a good look at him – yes, he is one ugly piece of work, but there he is and now we know what he looks like. He can’t frighten us so badly any more.
The biggest scary, sneaky monster that tends to lurk in the dark and get completely unmanageable because we don’t pull it out into the light of day and take a good long and level-headed look at it is actually a three-headed hydra called Debt. Each head of the Debt Monster has “credit cards”, “mortgages” and “loan”s stamped on their respective foreheads.
Read the fine print!
It seems that every time anybody advertises anything these days, they throw that phrase “terms and conditions apply” into the mix and this could not be more vitally important than when it comes to credit cards. People rarely read the fine print and the service providers indirectly rely on this. Read the “terms and conditions” every time when it comes to credit cards! There are just so many snags and little catches that will feed that hydra head. For example you may find you are offered an unbeatable, low-interest deal of an annual percentage interest rate of 11%, but when you go down to the little words at the bottom of the contract you will find that if you have impaired credit rating this will not apply to you.
Also the fine print will tell you the rate pertains to purchases only and all other transactions, like cash withdrawals, will cost you 34% instead. Miss a few payments and your debt can end up becoming an ever-growing and accelerating snowball. Oprah Winfrey, on one of her shows, gave some sound advice. Always pay more that the required monthly installment on your credit card to make sure that you don’t end up in the monster’s den. Wise advice indeed to keep you on top of your payments and out of debt.
Get reliable advice when looking for a mortgage loan package
Finding the right mortgage loan package is like being stuck in the labyrinth with the Minator. There is only one thing for it. You must seek sound advice from someone who really knows how to navigate the maze. Happily rates have dropped and requirements on deposits are pretty reasonable again. As rentals have become more expensive, buying property is becoming an interesting option once again in the UK. But if you find yourself in the position where you have over extended and you are sitting with a mortgage you can’t pay, don’t dawdle. Contact your lender at once to discuss reworking your payment plan. Lenders can only turn to repossession as a last resort. There are also several organizations that exist to help people in this kind of situation, such as the Mortgage Rescue Scheme or Citizens Advice. You are not all alone trying to fight this demon called Debt.
Chopping off the head of the beast called Debt
How to chop the last head off of our beast? Addressing loans. It will surprise you how many people owe money to the bank and can’t pay it back in the form of overdraft, small loans, and student loans. Most of the problems have to do with unemployment, low-income, or mismanagement and overspending.
There are some very basic options here. First, open another bank account so that your income does not go into the same account as the loan and then you can make a plan with the bank to pay into the loan each month. Start keeping track of your money, keep receipts and a record of what you are spending – budget, budget, budget. Talk to the people you owe money to. Let them know your situation and agree to pay them a token amount each month no matter how small. There are also several charities like the CCCS that can probably help you deal with your debts.
In the ancient story of the Hydra, as she loomed over the warrior and he began to chop her heads off, she just kept growing more of them. The trick was to stab her in the heart. Get to the heart of the matter and don’t ignore your bills. Don’t let your debt pile up in the shadows and get scary. Deal with your debts and the sooner the better.
To sum up:
- Read the fine print every time
- Speak to the people you owe money to if you fall behind with payments
- Face your debts, don’t try to ignore them because this will lead to bigger problems