Debt can be a major source of financial stress. Whether it’s credit card debt, HECS/HELP loans, or mortgages, debt can have a significant impact on your finances and your overall quality of life. However, with the right debt management strategies and the help of a financial planner, you can take control of your debt and start building a more stable financial future.
What is Debt Management?
Debt management is the process of organising and prioritising your debts in order to reduce or eliminate them as efficiently as possible. It involves creating a plan to pay off your debts, where possible negotiating with creditors to lower interest rates or monthly payments, and making changes to your spending habits to reduce your overall debt load.
If you’re struggling with debt, working with a financial planner can be an excellent way to get back on track. We can help you formulate a strategy regarding your debts and give you a clear plan that shows in what order and when each of your debts should be repaid. For those in financial hardship due to debts seeing a financial counselor, rather than a financial planner, can be a more appropriate place to start.
Debt can be a major source of stress, but it doesn’t have to control your life. With the help of a financial planner and the right debt management strategies, you can take control of your debt and start building a better relationship with money.