As the city of Barrie, Ontario has been able to see more growth compared to other parts of Ontario it has still had its share of economic hurdles to overcome in recent years. While Barrie is among the few cities that has been set to lead Ontario in terms of economic growth, the unemployment rates still continue to be below the provincial average. If you are suffering the effects of these trying economic times, consider ways to consolidate your debts in Barrie, ON.
How can debt consolidation help YOU?
Here are some advantages of a Debt Consolidation loan:
- You only have to worry about making one monthly payment for all debt
- You can consolidate your loan with lower interest
- You can work towards rebuilding your credit score
- You can pay off your debt in a set amount of time, for example 2-5 years.
5 Ways you can consolidate your debts in Barrie:
- Consolidation Agency
Your first step could be to contact a consolidation agency to help you determine your specific debt-relief needs. If you have assessed your situation and feel that consolidation may be a beneficial means of managing your debt – then going straight to the horse’s mouth can be a good way to get the information you need. Learning more about your consolidation and debt-relief options is perhaps the best place to start.
- Create a Personal Budget
It is also a good idea to create a new personal budget plan that will help you get out of debt. This will include the before and after steps you will perform, with debt consolidation at the the heart of your debt-relief plan. Determining how much money you owe and who you owe it to will help you devise a plan for debt consolidation. This strategy also helps you realize how much you can actually afford to put towards your debt repayment each month, in order to avoid borrowing even more money after the fact.
Look into Using a Home Equity Loan
Using the equity in your home to pay off your debts can also be a way to consolidate your debts into one loan. The value of your home can be an effective way to help pay off your debt and in Canada, the mortgage rules will dictate the specifics about how to use this equity to consolidate your debt, so you will want to examine those more closely.
Debt Consolidation Using a Credit Card
If you currently carry several credit card balances and one or more of them have high interest, then seeking out a consolidation loan that combines all of this debt into one loan may be the way to go. The sole loan is also likely to have a lower interest rate than what you have been paying before – so all in all this can be an effective method of saving interest and making it a bit easier to pay down the actual loan or debt balance as oppose to only being able to pay off the interest charges.
Debt Management Program
Another method of consolidation is through a debt management program that groups all of your unsecured debt into one loan. This is different from other loans as it does not require that you borrow any more money. Your personal debt program will set a monthly payment that is manageable for you in terms of your current financial circumstances. This is also where a consolidation agency can help put this plan in place. Sometimes the interest will be lower and may even be waived in some unique cases.
In the end, it can be best to discuss your options with an expert in this field and make sure you are choosing the best option for your personal financial position. The years following the economic recession have created hard times in many parts of the world and for Ontarian’s, it has been no different. For residents of Barrie – consider debt consolidation as an answer to your growing debt levels. If you are struggling financially, it may comfort you to know you do have options and can get out of debt by looking into some of the options available to your in your area.