It is not unusual for people to develop a fear of mailboxes as bills and debt collection notices pile up. For those who have a number of unpaid credit card bills and consumer loans, the feeling of losing control of the situation can lead to a kind of denial and procrastination. There is this thing called letterbox horror.
Are you one of those people who feel paralyzed by the situation you are in, and that the problems just get bigger and bigger without you being able to take back control? Then you are not alone.
Our experience is that there are many who feel the same as you.
After this, you draw up a list of your expenses, for example:
Do you find any expense items that you can cut? Subscriptions that you can cancel, for example?
Now that you know how much you have in income, expenses and debt, you can make a plan for how you will pay back what you owe.
Do you have debt that has gone to debt collection? Contact the creditor as soon as you can. Although it's scary to talk to the people you owe, in some cases they can help you with a repayment plan.
Check the interest on what you owe. If you can provide security in housing, you can save a lot on refinancing debt into the mortgage. For some, it will be possible to do this at their regular bank, but if you have a bad payment history, you may have to go to a "special bank" such as Kraft Bank, which has the option of refinancing even if you have struggled financially in the past.
Not everyone has the opportunity to provide security in their home. Either because they do not own their own home, or because the mortgage is too high. Then debt counseling can be an alternative. This is a low-threshold offer from NAV, which everyone can make use of.
This article is part of the category Economic first aid , a collection of articles that deal with topics related to a strained economic situation, such as reminders and collection, payment notices, garnishments and forced sales. Read more about Financial first aid