Most Australians are carrying some debt, which prompts an obvious question: how do you know when you’ve got too much and need help?

First things first: having a debt problem is nothing to be ashamed of. Life can be tricky, which is why good people sometimes find themselves in bad situations.

It’s important to recognise if your debt position has escalated from tolerable to threatening – because, if it has, and you don’t act, it could eventually overwhelm you.

With that in mind, here are five signs you may have a debt problem and should consider seeking help.

  • You’re overwhelmed by lots of fast cash loan repayments.
    Many Australians take out these loans to survive from week to week. These loans can seem like a quick fix, however, come with high fees and can lead to escalating debt struggles (https://moneysmart.gov.au/loans/payday-loans).
  • You’re being overwhelmed by credit card debt.
    Credit card interest rates can be extremely high, so it’s generally a good idea to pay your entire bill each month. If you are only able to pay the minimum repayment each month (which means it may never be repaid unless your circumstances change) it’s a red flag you may be struggling financially.
  • You’re falling behind on your mortgage.
    If you’re struggling to make your monthly mortgage payments, this is a sure sign you may need to seek help managing your debt. If you stop paying your home loan, you run the risk the bank will take steps to recover what you owe, including eventually selling your property.
  • You’re receiving letters and calls from creditors.
    Generally, the first thing that banks, credit card providers, electricity companies and telcos do when people fall behind on loans and bills is send a reminder letter. If that doesn’t work, they often escalate to a warning letter or phone calls. These threats are not to be taken lightly.
  • You’re facing legal action for your debt.
    If you can’t pay your debts, you’re at risk of creditors taking legal action against you. The end result might be that you are declared bankrupt, and your assets sold to pay your debts.

Solve My Debt Now

Solve My Debt Now provides a holistic debt relief solution that can be an alternative to immediate insolvency or bankruptcy.

Our debt relief solution aims to achieve any or all of the following outcomes for you:

  • Negotiating with creditors to reduce or waive your debt based on your current circumstances.
  • Negotiating with creditors to reduce or suspend your interest payments.
  • Where successful, avoid leaving a 5-year black mark on your credit file in contrast to the outcome of a part 9 debt agreement or bankruptcy filings.
  • Minimises your contact with creditors wherever possible.
  • Setting up payment plans with your creditors within your estimated budget to make paying back your debts manageable over time.

We Can Help You – Today

The Solve My Debt Now team are experienced, non-judgmental professionals who work hard to prepare tailored solutions for our clients. Contact them today for a confidential chat on 1300 070 672.