When debt has a hold on you, it can feel impossible to see a way out. Attempting to pay it feels pointless as more bills come in, the cost of living continues to rise and surprise payments threaten to pop up at any time. As the interest piles up, so does the stress, and you might find yourself sinking under the pressure.

if you're feeling overwhelmed

The advice given below is practical – offering plans, tips, and tricks to help free you from debt. However, if it’s all too much, just give us a call. We can help to assess your financial situation and put you on the right path. Scroll down for ways to get in touch.

Don't panic!

If debt has been piling up, it’s common to avoid thinking about it and to bury your head in the sand.

This is your sign to take an evening and really get to grips with the extent of it – look your situation in the eye. Things are hardly ever as bad as we think, and addressing it is the first step to tackling it. It’s time to make a plan!

Make a plan

For a little while, you may have to live without the extras and luxuries you’ve been used to. This might feel like a hard adjustment, but it’s temporary. Remember – getting your head above water and reducing stress will make it all worth it.

No more borrowing

To commit to becoming debt-free, set yourself the goal of not taking out any more payment plans or loans unless it’s for something absolutely essential.

make a list

Find a sheet of paper and a pen and list all your debts, including credit cards, loans, and payment plans. Next to each one, write down the interest rate.

Pick a repayment plan

Quick win – Pay off one small debt to give yourself a boost of motivation and shorten that list.

Start smart – Pay off the highest-interest debt first to stop that interest growing.

payback tips

Now that you’ve stabilised the situation with a firm plan, you might feel ready to think about ways to maximise the amount you can pay back.

Get to grips with your finances – make a note of the household income and then a list of your bills. Be detailed, including the weekly shop, fuel, subscriptions and any other outgoings. How much is left at the end?
Cut back and reduce – is there anything you can cut back on? Are there any bills that you can reduce?
Look for overtime or hobbles – to attack those debts, can you power through some extra work?
Gain skills – increasing your skill base with certificates or specialisms could lead to higher-paying roles.

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Future-proof

When you’ve broken free of debt, you’ll never want to get there again. Try these tips for staying ahead of yourself and preventing debt in the future.

Avoid heavy loans

Pay-day loan companies rob you in broad daylight. You’ve seen how quickly the fees add up, so try to avoid taking out loans or credit cards with high interest rates. If necessary, take out low-interest loans, and only for essential items.

Change your mindset

We’ve all gotten used to a world where we can have the things we want NOW, no need to wait. But having things fast comes at a price. If you’re thinking about buying a new fridge, for example, don’t buy it on finance. Consider saving up and buying it when you have the means instead.

Emergency fund

Rather than going back to normal as soon as you’ve cleared your debt, use the money-saving skills you’ve been using to build an emergency fund. Try to save a few months’ worth of expenses and let it earn interest in a savings account (just ask your bank or do a quick online search for the best ones).

UK - Government Money Helper Website

The government offers free and impartial advice about all things finance, including debt management, budgeting, savings and more. The Money Helper website is a wealth of knowledge, and a very helpful tool.

ROI - Government Money Helper Website

MABS is the Irish money advice service. For 30 years, they have provided free and independent advice and supported people with money advice, budgeting, and problem debt. The MABS website is full of information and tools to help people of Ireland.