Understanding your finances and managing changes in costs and income can be a daunting prospect, but there is help and support available to you.
Waiting too long to access support can cause your debts to rise and eventually put you in a delicate financial position, but taking a proactive approach and addressing challenges early can bring that much-needed peace of mind.
How can I address any early financial challenges?
A concerning trend is developing, as a recent survey conducted by Lowell found that nine in ten people delay finding help with their finances until they have reached a critical stage.
Understandably, money and finance are difficult and sometimes emotional topics to talk about because people are often ashamed and embarrassed by their situations.
This is reflected in the survey as 58 per cent of men and 71 per cent of women admitted to keeping a financial secret from their partner or family.
However, whether your financial challenges are small or developing, there is support available to help you manage these challenges and put measures in place to ease your concerns.
This includes payment plans, which can help you manage debt early, so it doesn’t escalate further.
Payment plans, such as a Debt Management Plan (DMP), give you some breathing space as they allow you to spread the costs over a period of time and ensure the creditor is satisfied and receives payment.
It also means a consistent payment is being made and allows you to incorporate this into your budgeting plan.
Why you shouldn’t avoid any financial challenges that arise
The survey highlighted another major concern, in that three-quarters of participants try to avoid their money problems.
Doing this is a major risk because the reality is that the longer your problems aren’t addressed, the more they will grow.
Ignoring your debts and money challenges can cause irreparable damage that will be very hard to recover from.
Neglecting your money problems will lead to long-term challenges that will impact your future prospects, especially if you have ambitions to get on the property ladder, because you will have a very poor credit score and lenders will not believe you can pay them back.
There is also the prospect of legal action, which will add further costs to your already unstable financial position. The legal cases could lead to you losing your possessions and being declared bankrupt.
Help is always available and our team of accountants are here to support you
There is always help available, so if you have any money concerns, don’t neglect them, speak to an experienced team of accountants like us, who will advise and support you with any worries you have.
We’ll tailor our approach to suit your needs, offering comprehensive advice and recommendations to help you address your concerns and feel at peace.
Our team are here to support you to help you build a clear picture of your finances and give you tips and tools to manage future challenges with confidence.
