Welcome
DebtorsLetters is my new website and blog detailing my struggle with debt and getting out of it! The site also has advice about how to save money and also how to make money legitimately. Please check back to see the site evolve over the coming days, months and years! The site is still in its infancy so a lot of links don't work and some of the content is still what I had from the template so it will appear odd.
I've just added a short guide to making money from websites that can be found under the "Money Making" section of the site, see the link at the top of the page.
Post-Xmas spending - making the most of your money
If your pockets are feeling a little empty after the festive season, you're not alone.
Christmas is traditionally an expensive time for many people, and most of us will be
feeling the pinch to some extent.
With that in mind, it's a good idea to take a fresh approach to your finances in the
New Year. And even if you're comfortable financially, it can never hurt to make a
New Year's resolution of improving your money management.
Here are a few tips for getting the most out of a limited bank balance.
Consider where you can cut back
In this day and age, most of us feel entitled to a few luxuries each month. But keep in
mind that these are the areas in which it's easiest to cut back - and if money is tight,
you could think about sacrificing some of your non-essentials to make room for more
important costs.
For example, you might only eat out at a restaurant once this month, instead of your
usual twice, or you could rent DVDs instead of going to the cinema. You don't need
to cut back on everything - that could actually do more harm than good in the long run
if you find yourself getting bored - but by reducing the number of times you spend
money, you could improve your financial situation faster than you may realise.
Replace spending with saving
If you do have money to spend on luxuries each month, consider whether some of that
might be better put towards a savings account.
Even a small amount in savings is better than nothing at all. So, for example, if you're
spending £50 a month in pubs/restaurants, consider cutting back and putting £25 of
that into a savings account.
The more you can save, the more protection you'll have against financial difficulties -
and therefore against debt - and you'll feel much more secure about the future.
Make sure you're getting the best prices
Many of us spend money with little regard for whether we could be getting a better
price elsewhere. This is especially the case with things like food, household goods
and utilities.
Use the internet to your advantage. There are websites for comparing everything from
supermarket prices to energy tariffs, and each saving you make could add up to a lot
of money in the long run.
However, keep in mind that some companies don't advertise their products/services
on price comparison websites, so be sure to have a look around yourself before you
commit to anything.
A new great place to save money is
ThinkMoney.com's voucher section.
I've been asked by Amy Lewis, a financial writer for the Oak View Law Group, if she can do some guest posts on my blog. I feel her input might be interesting and useful for people in a similar position to myself and so here's her first post:
Get rid of debts with debt settlement
Being down with hefty debt burden is the last thing you would want to experience. But many a time things just do not happen your way. You land up owing huge debts and the debt collectors turn your peaceful life into a living hell with their harassing debt collection procedures. If your debts are troubling you this way, then you should consider
debt settlement. Debt settlement is a simple debt relief option where the creditor accepts a lower amount from the debtor, which is regarded as full payment of the obligation. It is the most rational solution and the best alternative to bankruptcy when you cannot afford to meet your entire debt obligation. Here are the two ways you can get your debts settled:
1. Negotiate directly
If you are willing to settle your debts without having to spend any extra money, then you should try negotiating with your creditors directly in order to reach a settlement of your debt accounts. There is practically nothing to feel intimidated at the thought of negotiation. All you need to do is put your settlement offer rationally on the right track. First, you need to inform your creditor that you are experiencing financial hardship and that you are willing to settle your accounts. But remember that you should save up quite a bit before you make a settlement offer, because a big settlement amount is the bait to coax the creditor into a settlement deal. It is also important to let your creditors know that you might have to file for bankruptcy if your debt settlement offer is rejected. Your creditor knows that a bankrupt debtor is a sheer loss of money, whereas a debt settlement deal is more lucrative. So, both your lump sum settlement amount and possibility of bankruptcy filing are likely to convince your creditor to accept the settlement offer. There are chances that your creditor will try to modify your settlement offer. But it is advised that you do not agree on anything more than 50% of the total amount owed. You can pay the settlement amount either in installments or in lump sum. Make use of it and negotiate a payment plan so you can pay the sum in affordable installments within your budget.
2. Enroll for professional debt settlement services
If the negotiation stuff does not seem to be your cup of tea, then you can enroll with a reputable debt relief company that offers successful debt settlement services. But make sure the company you are hiring has a Better Business Bureau accreditation. When you enroll with the company, it will look into your debts and financial standing and then legally notify your creditors that your debt issues are being handled by the company. Then, the company will create a trust account in your name and you will have to deposit a certain amount every month for your debt settlement. After a specific amount gets saved in your account, the company's debt arbitrators will negotiate with your creditors and help you reach an amicable settlement of your debt accounts. Once the settlement amount decided, the company will negotiate a payment plan that will help you pay off your debts easily. Regardless of the way you settle your debts, make sure your creditor reports your settled account to the credit bureaus as "settled" or "paid" so your credit score receives a boost and makes way to a good credit report.
Author bio : This is a guest post by Amy Lewis who is a financial writer for Oak View Law Group. She has helped lot of debt burdened people with free counseling and advices on many finance related topics.
