You know you're swimming in debt. You also know that you need to make big changes if you're ever going to reach your financial goals.
You buy a house with the idea of making every mortgage payment in full and on time, but as the years go by, it's possible you could find your financial circumstances changing for the worse.
No matter how much credit card debt you have, your issuer expects that you'll eventually pay it off. However, there may come a point when you realize that you don't have the financial means for doing so.
Maybe you're behind on your mortgage payments. Or maybe you've missed your last few car payments. If you're facing trouble with any type of loan, it's critical to be open and honest with your lender.
A short sale is when you sell your home for less than what you owe on your mortgage. While it may sound like the answer to your problems — and it may be — your lender must agree to the process before you can move forward. If they do, all proceeds from the sale go toward paying off the balance, with the rest dismissed.
Receiving a foreclosure notice in the mail will make your stomach sink. Depending on the situation, you may have reason to believe that your lender will repossess your home sooner rather than later.
There are many reasons to file for Chapter 7 bankruptcy, including the ability to discharge debt. By doing so, you're able to eliminate some of the bills that are weighing you down, thus giving you a fresh financial start.
Credit card debt has the potential to bog down your finances, while also making it difficult to enjoy other aspects of your life.
Even if you have health insurance, a serious illness or injury could result in large medical bills.
If you find yourself swimming in debt, there's no time like the present to implement a strategy for improving your finances. It's not always easy to make progress but every little bit counts.