Open a dialogue with your loans officer/manager/lawyer. If you’re in dire straights (insolvent), contact your government’s debt mediation program. These programs can help you with creditor negotiations, and sometimes a stay of proceedings if necessary.
Hiding will not improve the situation. You must organize yourself and your paperwork so you can deal with your problems. It is unpleasant to face the extent of financial debt, but handling these issues will release you to enjoy life again. Successfully dealing with heavy debt loads involves making a fresh start with new financial and organizational habits. Stay calm, respectable and organized with these steps.
Step One
Find a good binder, preferably one that zips to enclose the contents. Stock the binder with blank, lined paper, a pen, highlighter, a few business sized envelopes and stamps. If you can, add subject dividers and sheet protectors to keep the contents organized.
Place your relevant and important financial information and contacts http://www.organizedhome.com/printable/showphoto.php/photo/29/cat/504 into this binder.
When you attend meetings or have telephone conversations, record the details and keep them in this binder.
Step Two
First, tally up how much you owe, to whom and at what interest rates. Update this statement every month when your statements arrive in the mail.
Step Three
Second, list what you own and what it is worth at today’s prices.
Step Four
Does anyone owe you money? If the answer is yes, write out who is in debt to you. To that statement, add exactly how much money is owned and the agreed upon interest rate. Note if the debt was secured by any possession of your debtor and if your debtor is meeting their debt repayment obligations to you on the agreed upon time schedule..
Step Four
Work out a budget http://www.flylady.net/images/FACE2004.pdf . How much cash flow do you need? Currently, how much money is coming in to your household and how much is being spent? You can carry a small notebook in your pocket to record your financial transactions when they occur.
Step Five
Consider your options and make a written plan of how you plan to reduce your debt load and improve your financial circumstances. Do you need to sell some assets? Do you need to increase your income?
Step Six
Make a face-to-face appointment with your loans officer/manager/lawyer. Talk to them about your current financial situation and your expectations for the future. Explain what you are planning to do.
Step Seven
Maintain your financial organization by working on your financial paperwork each week day. Organize your office space and time http://www.flylady.net/images/OCJ.pdf efficiently. Start the habit of small but consistent steps towards financial organization.
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