Tips For Avoiding Debt Increases From 4 Pillars In Victoria

by | May 1, 2020 | Business, Financial Services

A genuine concern for people in the Victoria area struggling with debt is the risk of debt increases no matter what they try to do. In fact, many creditors, including credit card companies, make money when people cannot make more than the minimum payment or make only partial payments.

Talking to a debt consultant from 4 Pillars can provide options for proactively managing debt. The debt consultants review each client’s debt and income information and make suggestions as to the best options for paying down the debt. It is always the decision of the client which option to choose, and having accurate information is critical in making an informed choice.

Careful Consideration of Debt and Repayment

All debt is not the same when it comes to prioritizing repayment. Working with a debt consultant from 4 Pillars in Victoria helps consumers to understand which debts are the most costly over time.

For example, high interest rate credit cards or any type of debt with high fees or penalties for missed or partial payments can quickly add to the debt load. These types of debts should be prioritized and at least minimum payments made every month.

In some cases, high interest credit cards and loans can be dropped to a lower rate. Often the consumer can contact the creditor directly, particularly if there are no missed or partial payments on the record.

Other options that may be recommended by a 4 Pillars debt consultant include a consolidation loan to pay off all debts with a low interest rate loan. Some consumers may qualify for the movement of balances from high interest cards to low interest cards to help to pay off the balance faster.

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