Debt Consultants in Victoria Help Separate Fact from Fiction

It can be hard to hard to admit that you are having serious debt problems. In fact, most people are embarrassed because they feel like they have somehow failed. The truth is, these things happen sometimes and they are often hard to avoid. When you need help getting out of debt, debt consultants in Victoria are there for you. In fact, this can be a difficult time, and there is a lot of misinformation floating around. Here is some information from 4 Pillars Consulting Group to help you separate some of the facts from fiction.

How 4 Pillars’ Debt Consolidation Can Help You Pay Off Your Debts

Saving up for a major purchase may take some time, especially if you are earning just enough. If your expenses are urgent, you cannot rely solely on your small income and premature savings to cover them. For many, the best and only option is to borrow money from a bank or a financial institution.

Unfortunately, taking out a loan has become quite a normal practice, so much so that people do it even for small and often unnecessary expenses. They feel secure knowing that there are immediate fund sources they can depend on. It’s this need that has led to the creation of many different types of loans available today. Debt relief consultants from 4 Pillars in Victoria, Nanaimo, Port Alberni, and Courtenay can shed light on the matter.

4 Pillars Debt Relief Consultants Take on Many Roles to Help Debtors

Debt relief consultants like those from 4 Pillars Consulting Group on Vancouver Island help struggling debtors around the area in many ways. If one enrolls in a debt management plan, a creditor will first analyze personal finances and budget. After the review, the specialist will draw up a customized plan focused on reducing debt and controlling spending. Beyond this, however, debt restructuring specialists also take on different roles to aid clients.

As qualified debt relief specialists, they can educate clients on practically any matter concerning debt management. For instance, they can have a lengthy and informative discussion about interpreting credit scores or reports, using credit wisely, understanding legal matters that concern debt and what to expect during the restructuring process. Read more from this article: http://bit.ly/2vlcJo2

4 Pillars Consultants Explain How Restructuring Affects Credit Scores

Debt consultants from the Vancouver Island regional base of 4 Pillars Consulting Group explain how debt restructuring affects credit scores. Canada provides its citizens with several options for settling debt they otherwise can’t pay back alone. Many, however, are reluctant to approach debt restructuring specialists for fear of how it would affect their credit scores. What consumers need to understand is that the mere act of consulting with an expert proves inconsequential to credit rating. If anything, it shows creditors that a debtor is serious about reducing debt.

What directly influences credit score is the debt management plan that will be used. Understandably, the credit score will dip because the client has taken drastic measures to settle debt. When one files for bankruptcy, he will receive an R9 rating. This is actually the lowest score a debtor can have, and it will remain on his record for at least seven years. Filing for a consumer proposal will lead to an R7 rating, which is higher than R9 but still considered very low. An R7 rating indicates that the debtor has been able to strike a deal with his creditors, making him eligible for opening up new credit lines in the future. Read more from this article: http://bit.ly/2wvS6Uo

Build Up Credit through Good Debt with Aid from a 4 Pillars Consultant

As you try to pay down debt through the different restructuring options available, your credit rating might take a significant dive. If you are planning to make major purchases in the future, this might cause some concern. Lenders are more reluctant to approve loans if you have poor credit. However, with some help from a debt relief specialist from 4 Pillars in Victoria, Nanaimo, Port Alberni, or Courtenay, you can slowly build your credit back up. You can start with accruing good debt.

4 Pillars Consultants Help Determine Consumer Proposals Eligibility

More and more Canadians are looking into alternatives for bankruptcy. In fact, in 2014 alone, more than 53,000 people filed for a consumer proposal. With a lower monthly debt payment, wage protection, and a considerably less severe effect on credit score, it is no wonder why using a consumer proposal has become a viable option for many. It is worth noting, however, that not everybody will be qualified for consumer proposals and other alternatives to bankruptcy may be more viable. There are certain requirements you need to meet and consider before looking at any debt restructuring option. An experienced consultant from 4 Pillars in Victoria, Nanaimo, Port Alberni, or Courtney can help understand your options and verify your eligibility.

Start Reducing Your Debt with Help from 4 Pillars Victoria Consultants

Recent studies suggest that an increasing number of Canadians find themselves in debt and are spending as much on debt interest as education. This does not mean, however, that Canadians aren’t taking action: a poll conducted at the end of 2016 revealed that paying down debt is the top financial priority of over 28 percent of Canadians. It also seems that they are trying to lead lives debt-free, as 70 percent of Canadians did not take any new debt in the past 12 months. With these encouraging numbers, one can’t help but be inspired to take the first steps in reducing their own debt. Start your own journey to becoming debt-free by heeding these tips from 4 Pillars Victoria Nanaimo, Port Alberni, and Courtney consultants.