To summarize all of the tips in another way, one could say, 1) take care of yourself, 2) seek help as needed, 3) communicate and cooperate with others, and 4) be honest and persevere.
Let’s take a closer look at each one of the tips:
- Pay yourself first. Put yourself on “the payroll.” Always set aside money for savings.
- Don’t wait until it is too late to seek help. When faced with difficulties, it is easier to put something off than to deal with it. However, seeking help early on, when the problem is still small, will always provide for easier, more manageable solutions.
- Call the lender/creditor. Don’t be afraid to let your creditor know about your situation. They cannot read your mind, and will always respond better to a consumer who reaches out to them than to a consumer who avoids them.
- Be prepared to work with the lender/creditor. Working closely with creditors can often times result in revised payment arrangements or possible restructuring of the debt.
- Don’t make promises that you cannot keep. Be realistic!
- Be honest and don’t give up. Being truthful and persistent with your creditors will help to ensure a good relationship and a positive resolution.
- Talk to a local non-profit credit counseling agency to help you rebuild your credit. A credit counselor can help you create a spending plan and provide you information on debt repayment programs and financial management education. Look in your own community for valuable resources.
