Your credit card debts are just too much
With your credit card debts growing, you feel trapped.
Even simple, everyday spending on food and transportation has made life a grind. Paying off the mortgage is overwhelming.
You try to pay off your debts each month, but multiple credit cards are maxed out. Late fees keep shooting up. You can barely make a dent in the interest charges.
All you earn goes towards paying debt. You never save.
For a little relief, you may be using one credit card to pay off another. But this sinks you in deeper.
You feel uncertain about your financial future. This feeling hangs over your head. It’s stressful. It’s frustrating. And it’s got you feeling stuck.
But don’t worry. There’s light at the end of the tunnel. With our help, you can:
Don’t feel bad. You’re not the only one with credit card debt.
Credit card debt is something a lot of Aussies struggle with. It’s a major source of financial stress for many. There’s no need to feel alone.
Here are some facts about Australian credit card debt:
Falling deep into credit card debt is nothing to feel embarrassed about, especially if you don’t have the right financial training.
Life doesn’t always go to plan. It makes huge demands, some of which are totally unexpected and life changing.
You may have suddenly lost your job.
Unforeseen health issues may have put you in bed, unable to work.
You may have broken up with your partner. Now your total household income is less than half of what it used to be.
Your rent may have escalated without warning.
Interest rates on your mortgage just shot through the roof.
These things could happen to anyone.
Overwhelmed by your credit card debts?
Breaking the debt cycle is possible.
Your options to get out of credit card debt
There are many ways you can stop the credit card debt cycle. You can:
Pay your way out
If you’re disciplined about spending, you may be able to pay off your credit card debts with your existing income.
Take out a credit debt consolidation loan
By consolidating multiple debt streams into one, you’re giving yourself a single debt with a single interest rate to focus on.
If the interest rate on your debt consolidated loan is lower than individual interest rates, you could save money and improve cash flow.
Transfer your credit card balance
You can transfer your balance to a card with an interest free period or a lower interest rate. This will give you a break from paying interest and you can focus purely on the principal payments– and a chance to get some money back in your pocket.
WARNING: balance transfers can keep debt cycles going if you’re not careful.
Apply for Insolvency or declare bankruptcy
If you can’t see a way out of your debt spiral, applying for insolvency and declaring bankruptcy may be an option. This is a serious decision that involves detailed legal processes and has long-term consequences.WARNING: a successful application for insolvency can damage your credit rating and stop you from accessing credit for five years or more.
How MyBudget can help you get out of credit card debt
We deal with complex financial situations on a daily basis. If you’re confused about how you can get out of credit card debt, we’re here to help.
We start by getting a thorough understanding of your financial situation at depth. To offer a solution that works for you, we take into account:
In any case, our solutions aim to help you:
In the end, you can:
If you want to change your life now, we’re ready to help you.
With our free consultation, we’ll review your finances and help you design a budgeting plan. This will cost you nothing and there’s no obligation to sign up for our services.
Paul & Gemma, MyBudget clients
Paul & Gemma, MyBudget clients
Dan, MyBudget client
Dan, MyBudget client
Sarah, MyBudget client
Sarah, MyBudget client
Want to eliminate your credit card debts now?
We’re here to help you get your credit card debts under control and pay them off as soon as possible. Our solutions are tailor-made just for you.
We’ve already helped countless Australians. All on terms that are comfortable for them.
If you want to know more, give us a call on 1300 300 922.
You can also get in touch by clicking the button below.
Money management is a challenge these days, even for high income households.
The world of work and earning has changed since our grandparents’ time. The idea of holding down the same job for 30 years has become out-dated. Housing costs are through the roof and the cost of living eats further and further into incomes. Moreover, life doesn’t always go to plan. Unexpected changes in circumstances can result in financial pressure. The impact of a divorce, illness, the birth of a child or a job loss can seriously impact your financial situation.
Faced with an endless stream of expenses, you may have started relying on your credit card to make ends meet. Perhaps you got caught in a cycle and found that you couldn’t pay off the balance every month - you feel like your debt is snowballing. Don't worry - no matter how big your debt seems, you've got options.
Debt Consolidation, mortgage refinancing, Part IX Debt Agreements, Bankruptcy… There are many options when it comes to companies offering get-out-of-debt solutions. Trying to reduce your debt can be like navigating through a minefield, which is why it’s important to consider your options carefully.
Credit debt consolidation loans
The idea of a debt consolidation loan is to free up cash flow by rolling your consumer debts (credit cards, personal loans, charge cards etc.) into one loan, or your mortgage. Its important to take into account the extra interest you may incur over the entire term of your loan. In the long-run, it may result in a much higher total repayment.
Credit card balance transfers
If you’re disciplined, a balance transfer to a card that offers a low or zero interest “honeymoon” period may be a good opportunity to get back on track. The key is to pay down as much of the balance as you can afford each month before the honeymoon period ends. Keep in mind, that a balance transfer can sometimes keep the debt cycle going. It may just be a Band-Aid measure that masks the underlying causes of credit card reliance.
Insolvency (Part IX Debt Agreements and bankruptcy)
‘Insolvent’ describes a person that doesn’t have enough income and/or assets to repay their debts. Insolvency is a detailed legal process with long-term consequences. There would be a permanent record of your insolvency on the National Personal Insolvency Index and it would affect your ability to access credit for five years.
Pay your way out of debt
Many people can often pay their way out of debt using their existing income. You may be able to pay off your credit card and other debts without taking out new loans or further impacting your credit rating.
At MyBudget we can help you examine your alternatives, so you can make an informed decision about what's best for you.
We begin with a free consultation, where we will examine your finances in detail. We will take into account all of your bills, loans, expenses and current debt—even money you might owe to friends or family members. We deal with complex situations every day and will take the time to sit down and review your situation. It’s a valuable opportunity for you to ask questions in a setting that’s professional, relaxed and confidential. We design only personalised solutions that are tailor-made to get you back on track towards achieving your goals and paying off debt.
By the end of your consultation, you’ll have a clear budget plan that sets out what is achievable. If you do decide to join MyBudget, we can help put your plan into action.
Many of our clients say that MyBudget provides structure and discipline that helps keep them on track.
As well as designing a budget that will enable you to pay off your credit card and loan debt, we can:
- Prioritise debt and bill payments to optimise your use of income
- Pay your bills and make loan payments on your behalf (including payments to friends and family)
- Help to ensure you have enough money for day-to-day living expenses
- Provide reports and future projections on your progress
- Set aside your savings for you
- Handle communications with your creditors, if you would like us to do so
- Arrange more affordable payment terms with your creditors, if required
What will your goals include once you’ve paid off your credit card? Will you save for a home deposit? Put the money aside for a new car or holiday? No matter what your goals are, MyBudget can help you stay on track.