Coping with Debt

 

A short guide to coping with debt problems

The reasons people end up in debt are many and varied. They include:

 

  • poverty
  • loss of income
  • redundancy
  • loss of or reduction in benefit
  • divorce
  • over commitment

  

What should you do if you find yourself in this situation?

 

There are three very important steps.

 

 

1.  Acceptance

 

It is important to accept that you have a debt problem. This is the first step to recovery. Do not ignore the situation. It will not go away. Take a hard look at your financial situation and consider:

 

  • Is there any way to increase your income?
  • Is there any way to reduce your expenditure?

 

 2.  Contact

 

You should contact your creditors as soon as possible, preferably in writing.

 

 

 

3.  Explain and Negotiate

 

Explain why you cannot make the normal payments. If possible, offer to make reduced payments, which you can afford.

 

Remember that you should contact all of your creditors.

 

If you cannot negotiate reasonable repayments, then contact the Debt Counselling Team

 

Phone: 0141 287 8732