How to get out of debt

How to get out of Debt

With thousands of people finding themselves in overwhelming debt in the UK, it can seem like there is no way to recover from your debt problems but with WB Debtcare, you can recover from debt and enjoy a debt-free life in no time!

If you’ve found yourself on this page, congratulations, you’ve taken the first step into tackling your debt.

Debt can rack up before your eyes and sometimes the only way to get out of debt seems to be getting in more. It’s an endless cycle that is very easy to get caught up in. If this is you – don’t feel ashamed! WB Debt Care are here to help! Admitting that you’re in a high amount of debt takes courage and means that you’re ready to tackle the problem, whatever that takes.

Now that you’re here, here’s what to do next:

Make a list of your income and expenses

When you’re in debt, it can quickly feel that you don’t have full control of your finances. One small outgoing payment is no big deal but when you have 5 ‘small’ outgoing payments, suddenly it adds up very quickly and you’re not quite sure where your salary has disappeared to!

Make a point to sit down with all bank and credit statements and figure out exactly where your money is going and ensure that there is a plan in place for future payments so that you don’t feel quite so tripped up again.

Ensure you’re not entitled to financial support

If you’re on a low income, depending on your circumstances, you could be entitled to government support. This can include:

  • Unemployment support
  • Child and working tax credits
  • Income support
  • Incapacity or disability benefits
  • Maintenance
  • Income tax
  • Housing benefit & council tax relief

To find out if you’re entitled to any of these benefits, EntitledTo can help you.

Make necessary cutbacks

In the spirit of honesty, it’s time to be honest about your outgoings. Are there any that just aren’t necessary? Any subscriptions you barely use? If there are any needless, or, disposable outgoings that you’re not sure you’ll utilise in the next month, cut them away! When it comes to clearing debt, every little really does help and any cutback you make can go towards paying off your debts.

Cut back on as many luxuries as possible and look at everything you do from a money saving perspective; you could get the bus to work or you could save money, and improve your health by walking. You could pick up lunch every day or you could plan a week of lunches ahead and take it into the office. Save any money you would have spent on food and drink throughout the week as part of your debt recovery process.

If your utility bills seem a little high, you may be able to switch to a better, more affordable provider. USwitch can help with this!

Prioritise your debts

Suffice to say, some debts are more important than others. Consider rent/mortgage, council tax, utilities and any fines to be the most pressing debts that you have to deal with. When organising your finances, figure out how much you can reasonably afford to give to each lender. Minimum payments are a short term solution, and you won’t see much of a shift in any quick time but minimum payments are at least payments and while other debts take precedence, a little every month can be beneficial.

Contact your creditors

This is, admittedly, one of the most difficult steps in debt recovery. Explaining to creditors that you’ve found yourself in debt and need their patience can seem like a daunting task. However, you’re not the first and certainly won’t be the last person to do this.

Some creditors will give you the option to pay back your debts in affordable increments and will arrange a payment plan that suits you and your income.

What WB Debtcare can do for you

If you feel that the debt you’re in is just too much to deal with alone, WB Debtcare are here to help. We understand how debt can affect your life, your mental health and your circumstances. We deal with all of our clients sensitively and work to help you find the solution that best works for you and your life.

We are based in Glasgow and can help anybody struggling with debt in Scotland. If you’d like to find out more, what we can offer you or just have further questions about our services, please feel free to get in touch. We look forward to hearing from you.