Solutions to Debt Problems in Manitoba – We are Here to Help
Debt is common.
In fact, as the country enters unprecedented difficulties, debt is becoming a more prevalent concern amongst individuals and businesses nation-wide.
The best way to handle your debt responsibly is to consider all possible solutions to debt problems in Manitoba.
We are here to help you handle your financial concerns; to provide usable advice and actionable solutions to help get your finances back on track.
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Types of Debt
There are different sorts of debt, some more easily managed than others.
Whereas some types of debt are considered preferable to others, some things stay the same: you still owe money in the form of regularly scheduled payments and your amount owing gains more interest the longer you spend owing those funds.
Essentially, there are a few common types of debt with which you are probably familiar.
- Secured Debts: Basically, this is a loan which is backed by collateral. A common example is a car loan, where the vehicle serves as collateral for the loan itself. This means that, if you do not make regular payments, the car will be repossessed since it is the collateral for the amount owing.
- Unsecured Debts: This type of loan is not backed by any type of collateral. Often, individuals without any collateral will take out these loans in attempts to stem the tide of other financial difficulties. Even though there is no collateral, the amount is still due per the terms of the arrangements.
- Mortgages: Perhaps the most common type of debt, after an initial down payment, the home loan goes under regularly scheduled payments. Technically a type of secured loan, the house acts as collateral for the financial agreement.
- Revolving Debts: Essentially, this is an account without an end date, like a line of credit or a credit card. Interest accrues on unpaid amounts and there is a regular minimum payment schedule for the account.
Common Debt Issues
With each of these types of debt, there are different issues which can arise – especially during times of financial strain and difficulty.
In terms of mortgages, the most common and unfortunate potential pitfall is ending up in arrears and facing foreclosure.
With respect to secured loans, the risk is losing the collateral backing the account – something like a car.
As for revolving debt, the issue is the closure of accounts, the removal of access to those funds, and the eventual collections proceedings.
Unsecured loans provide their own range of pitfalls, especially since without collateral, they will undergo the collections proceedings sooner than otherwise.
The issue faced by most households is a mixed bag of the above debts.
Without a financial background, it can be challenging to assess the nature and risk of debts, and to create a planned budget to account for all of the different rates of interest, loan terms, and payment schedules.
Even with effort, many find themselves at the mercy of collection proceedings, unsure of how to proceed.
Early Debt Management
Thankfully, there are approaches to managing your financial situation in a way that is amenable to both you and to your creditors.
However, it is important to note that the longer you wait, the trickier it becomes to handle your debt arrangements.
The best method of handling your concerns is acting early.
If your debts are becoming too difficult to manage; when you find yourself unable to make regular payments and with bills stacking up, reach out for assistance.
There are available options.
Surmounting Debt Concerns
You have available solutions to debt in Manitoba.
There are many different non-profit organizations that offer free consultations to give you guidance on available options.
Trained financial professionals are ready to assist you by analyzing your complete financial situation and coming up with a plan that suits your personal needs.
Common steps include:
- Budgetary advice: By assessing your living expenses and needs, a credit counsellor in Manitoba can outline a manageable way to approach your debt concerns without forgoing your regular needs.
- Immediate action suggestions: Sometimes, a fresh set of eyes can highlight things you can do right away to stem the concerns caused by accruing debt. It can be a matter of a lump sum payment, a consolidated loan, or other steps you can take.
- Bankruptcy alternatives: The sooner you act, the more options there are available to you instead of filing for bankruptcy. These financial plans enable you to avoid this pitfall, attempt to restore your credit, and improve your quality of life.
When You Need Help
Sometimes, it can be challenging to ask for help; to tell when it is time to get the assistance of a third party.
However, if you find the stress from debt to be overshadowing your life, if you realize that you cannot get control of debt or have been turned down for a consolidation loan, it is definitely time to get assistance.
If you have begun relying on credit cards to handle your expenses and are fielding calls from collections, it is time to get the assistance of a professional credit counsellor.
There are several choices available to you in terms of handling debt.
The first step is reaching out to a trusted, non-profit, credit counselling service in Manitoba.
Choose an option in your province since they will be the most familiar with the intra-provincial regulations while still being up to date on federal requirements.
Give yourself the opportunity to heal from financial strain and get your life back on track.
Often, there are more available options than you realize; you simply need professional assistance to access them.
Whether it is a matter of rearranging your budget, seeking out a quality consolidation loan, or even pursuing bankruptcy in extreme cases, you can benefit from the assistance of a skilled financial professional.
It is never too late to reach out for help.
There are debt solutions available in Manitoba and you deserve the advantages they offer.
Act now and start on the road to financial recovery.
Information on Consumer Proposals
Consumer Proposals in Canada – An Alternative to Bankruptcy
What is a Consumer Proposal?
How to Amend a Consumer Proposal
What are the Benefits of a Consumer Proposal?
What are the Steps in a Proposal?
Consumer Proposal Eligibility
What Debts Are Erased in a Consumer Proposal?
Is There Life After a Proposal?
How to File for Bankruptcy
What is Bankruptcy?
How Does Bankruptcy Work?
What is the Cost of Bankruptcy in Canada?
How to Rebuild Credit Following Bankruptcy
Personal Bankruptcy in Canada
What Debts are Erased in Bankruptcy?