debt consolidation advice
I need some advice on debt consolidation. Could someone pls advise.
There are alot of debt management companies on the net and I would like some
guidance as to their helpfulness etc. Has anyone had any dealings with debt
consolidation etc.
-yes - my brother has used two such organisations - but there were
"stings in the tail".
i gave him some advice, which seemed pretty fundamental and was
surprised he hadn't received it from these firms. clearly they are
keen on repeat business!
-Do not go anywhere near companies who charge for debt advice. Their
fees will just increase your liabilities. Go to your nearest Citizens
Advice Bureau or other advice centre who will give you free independent
advice. Debt consolidation may well not be a good solution to debt
problems.
-Many debt consolidation companies will charge you a high rate for
interest for a debt secured by a mortgage on your home.
If you need advice, do go to the CAB. They should help you reschedule
some debts, which may well be cheaper.
But the first step must be to change the spending pattern that got you
where you are.