If you're financial situation changes and you're struggling to manage you're finances, it can be a stressful time. It's easy for things to snowball if they aren't dealt with. With tackling the problem and getting help you may be able to turn things around.
We have put together the following page as a guide, we are not offering financial advice. Before you make any decisions, you should carry out your own research to find a solution that's suits your personal circumstances.
Don't ignore the problem
Don't keep putting the problem off. The sooner you act, the sooner you can regain control of your money and your financial health. If you're struggling to know where to start, National Debtline have put together the following guide on how you can deal with debt.
Talk to your lender
You should speak with your lender, as soon as possible. Explain your situation to them and that you are struggling to make your repayments. It doesn't matter if its your bank, utility provider or any other lender. By knowing your situation, they might be able to help you out by offering you a different payment plan or arranging a temporary payment holiday.
If you have multiple debts, it can be difficult knowing which one to repay first. However, by prioritising them you can save money and clear your debts faster.
Look at your debts and split them into:
- Debt emergencies – These debts require immediate action, as you're threatened with eviction or a court action. You should seek some debt advice urgently from any of the organisations recommended below.
- Priority debts – These debts don't have to be the largest or most expensive, but the ones that could turn into debt emergencies if they aren't repaid each month.
- Non-priority debts – These debts have less serious consequences if they aren't paid on time, however, could escalate if they aren't taken care of.
By splitting your debts out, you will be able to see what needs to be focused on first and this will help you when making a budget. For more help on prioritising your debts, you can view this article by the Money Advice Service.
Make a budget
To make a budget, start off by writing down all your monthly expenses, no matter how small they may be. Make sure to include all your priority debts and at least the minimum payment for non-priority debts, to avoid you falling behind. Add up your expenses and see how they compare to your income. You will be able to see how your money is being spent and if there are any areas you can cut back on.
If you have any money left over after working out your budget, use it towards paying off your non-priority debts. Focus on the debt with the highest interest rate first, but check there's no extra charges for making an overpayment. When that has been repaid, move onto the next highest non-priority debt.
What Morses Club can do?
If you've taken out a Morses Club doorstep loan and you’re struggling to make the repayments, please speak with your agent. They will understand your individual circumstances and may be able to lower your weekly repayments. Alternatively, you can contact our Customer Service Team.
Just remember Morses Club don't charge any late or missed payment fees and we will always try to give you some extra breathing space on your repayments if you need it.
Seek independent financial advice
For free and confidential debt advice, the following not-for-profit organisations have been recommended by the FCA. By getting in contact with them, they can provide you with independent advice to suit your situation.
Money Advice Service
Set up by the government to provide advice and guidance, along with tools and calculators to help people with a wide range of financial solutions. Phone 0800 138 7777 to speak to a Money Adviser or visit www.moneyadviceservice.org.uk.
Money Advice Scotland
If you live in Scotland, phone 0141 572 0237 or visit www.moneyadvicescotland.org.uk to find debt advice in your local area.
Citizens Advice Northern Ireland
If you live in Northern Ireland, phone 0800 028 1881, email firstname.lastname@example.org or visit www.citizensadvice.co.uk for debt advice.
StepChange Debt Charity
The UK's leading debt charity. They offer a free online and phone-based service to help people overcome their debt problems. Phone 0800 138 1111 to speak with somebody or visit www.stepchange.org.
They offer free guidance and budget planners. Phone 0808 808 4000 or visit www.nationaldebtline.org for debt advice and information.
You can speak to them in person in or on the phone. visit your local Citizens Advice (address in the phone book) or go to www.citizensadvice.org.uk.
Member centres offer debt advice, including specialist advice for minority communities and people with disabilities. Visit www.adviceuk.org.uk or phone 0300 777 0107 to speak with them.