There are different levels of debt that individuals and couples can experience. Small amounts of debt are commonplace, with most Victoria households owing about $1.70 for every dollar of disposable income. However, this debt is across all categories, including mortgages, car loans, and other forms of personal loans.
At some point in time, when people start missing payments or only making partial payments on the high value assets, including the home, vehicles, and other valuables, the debt becomes overwhelming. This is often described as drowning in debt, with the debt level rising from month to month.
The best thing to do when debt becomes an issue is to work with debt consultants. These professionals can assess your current debt levels, consider your assets and income, and make recommendations on strategies opportunities to get out of debt.
It is important to keep in mind that debt consultants do not force people to use one method to get out of debt. However, if the debt is significant and there are limited options, the choices may be very limited. To avoid this, seeking help sooner rather than later is always a wise choice.
Take the Initiative
In Victoria, individuals or couples can meet with debt consultants for a free initial consultation. This is a simple and cost-free way to understand your options and to begin to create a plan to pay off the current debt over time. Proactively getting started on a strategy before foreclosure on your home or repossession of a vehicle is always the best choice.