Are you one of the 180000 people in the UK that are continuing to struggle with mortgage repayments!
- Is this due to rising minimum credit card and loan repayments or down to a reduction in household income, or both?
- It could even be due to another change your in personal circumstances!
At Lewis Alexander Financial Management, we speak to many people daily who do not understand that the mortgage they have should take a priority regarding repayment over any unsecured credit card or loan or other unsecured borrowings.
When dealing with credit card and loan companies, you should be advised that your monthly mortgage payment is the most important but this information is not always forthcoming!
The reason why your mortgage should take priority over your credit card debts or other unsecured borrowings is because the mortgage / secured loan is secured against your property meaning that if you fail to keep up repayment you could be at risk of losing your home due to repossession.
- Falling into the trap of paying credit card and loan repayments before your monthly mortgage repayment is very dangerous when looking at the financial and legal implications.
If you find yourself in the above position you should take advice immediately from a personal finance consultant, your income and expenditure will need assessing and once this has been done, you will not only know what you can afford to pay towards your outstanding credit card and loan balances but you will also know if you are able to sustain your current spending plans as the assessment can identify what is going wrong. You may know what the problem is but if you do not deal with it, the problem will escalate and become quite unmanageable.
Credit cards and loans and other unsecured borrowings can be put into one monthly repayment using different forms of debt consolidation.
Debt consolidation services can help you to consolidate all your unsecured credit cards and loans and store cards and overdrafts into one monthly repayment. This is done sometimes with another loan but usually if the client is struggling, a debt solution such as a debt management plan or IVA (Individual Voluntary Arrangement) can be more suitable or appropriate.
Debt consolidation services can help and assist you to clear financial problems without increasing your borrowings any further.
- If you require assistance with credit card or loan repayments contact Lewis Alexander Financial Management today, your call is usually free from a land line – 0800 018 6868.
