When you have been dealing with long-term debt, waiting another day to sort everything out might not seem like a big deal. However, we can tell you from experience that it can make all the difference.
There is no getting around the fact that even with very effective and efficient debt solutions they will take time to get you totally back on your feet. Trust Deeds, for example, are a fantastic method for Scots to get write off debt, but they usually take four years to complete. However, what you have to remember, is that you will begin seeing significant benefits long before this.
1 – End Creditor Harassment
One of the most challenging things about being in debt is the constant creditor harassment. Do you frequently worry when the phone rings, or when the postman is walking up the path? We can make all of that stop.
When your Trust Deed becomes protected, creditors can no longer try and contact you. They cannot call you, they cannot send you any letters, and they cannot deliver any more e-mails. It is illegal for them to attempt to communicate with you in any way; they have to go through us instead.
Your assigned adviser will be able to relay any relevant information from your creditors to you in a friendly, non-intrusive, and easy-to-understand manner. However, provided you meet all of your regular monthly commitments on schedule, there should be very little correspondence to relay – leaving you to focus on what is important.
It is worth noting that there is a limit of what creditors can do in order to make contact with you. For a summary of what they can and cannot do, check our overview here.
2 – It Is Only Going to Get More Difficult
Dealing with debt is never easy. We speak to thousands of people every week who are at various stages in the commendable process of facing their money trouble head-on. Getting everything resolved is easier said than done, and we know that admitting you are in trouble and reaching out for help can be a tough step to take.
However, things are only going to get harder. Consider how stressful your day to day life is when facing debt. Each envelope through your letterbox brings more trouble, every time your phone rings it could be a persistent creditor, and wherever you go you are thinking about money and your declining balance.
We cannot promise that we can instantly make all of this go away, but the immediate relief that progress can give is evident in many of our clients. Instead of worrying about how much your situation is going to decline in the coming weeks, you will be able to consider how much things are going to approve. All it takes is a phone call.
Not only is the mental strain of your debt getting worse going to affect your mental health and general levels of stress, but delaying the problem will make it even more difficult to address when you eventually try to.
It might be the case that your problems have gone too far by the time intervention comes around, and you will have to take a more extreme measure of sequestration or bankruptcy. Or it might be the case that your balance has risen so high that you cannot come up with enough money to satisfy your creditors with your monthly payments. You would be unfortunate if this happened because you waited a day, but one day turns into two, two into a week, and so on.
Whatever way you look at it, there is no advantage in delaying your Trust Deed application any more than is absolutely necessary.
3 – Your Credit Rating Is Likely Already Compromised
One of the biggest worries our clients have when discussing the possibility with a Trust Deed is the effect it can have on your credit rating. It is true, one of the negative aspects of a Trust Deed is that it will stay on your credit rating for six years. However, if you are in a situation where you are eligible for a Trust Deed, it is likely that your credit rating already makes it difficult to access more money.
If any of your debts have defaulted, or if you often struggle to meet minimum repayments, then your credit rating will be poor. A Trust Deed will give you the opportunity to get your finances back under your control and can be an incredibly valuable fresh start. After a set period the fact you had to declare yourself as insolvent will disappear from your credit history, and you can start to rebuild your score.
Eventually, using some methods that our specialists can outline for you thoroughly, you can build your credit rating back up to a point where lenders will be willing to do business with you. This involves taking out specific credit cards and paying contracts on time – they will show that you are responsible and committed to settling your bills.
We are not arguing that waiting another day is going to ruin your chances of sorting out your debt, but there is certainly no advantage in waiting. You cannot live in the shadow of debt for the rest of your life; there will come the point where something must give.
If you want to retain control of how that will play out then you need to be sure that you are the person that decides when this will happen – not your creditors.
Our team of advisers is ready to go whenever you are. We know it is not easy to face up to money issues, all we can do is guarantee that no matter how drastic your situation is you will find no judgement here. Everyone has debt, and for tens of thousands of people throughout the country it has become unmanageable.
Nothing you tell us will be surprising, and everything will be completely confidential.
The question is not “do I need help?” If your situation is declining, or at least not improving, and it is a consistent source of stress and anxiety, then you know the answer. The question is really “why wait?”