Times are tough for you.

Maybe your hours were cut back at work, and you are having difficulty paying your credit cards. Things were fine when you were working full time.

Maybe your relationship recently broke down. Things were fine when there were two incomes in the household. Now that it is just your income, you find there isn’t enough money to go around.

Whatever the reason, the creditor calls are starting. The calls are stressful and you don’t know where to turn. The first thing to know is that you are not alone. There are options to help you with your debt problems. What you need is a fresh start.

What is a fresh start?

I refer to a fresh start as a way to be free from your debt. It can come in various forms. For some people a fresh start is a bank consolidation loan.

For others credit counselling may be the way to their fresh start.

It could also be a consumer proposal or bankruptcy.

Everyone will have their own path to their own fresh start. It’s important to talk with someone about which option is best to help you. Give me a call at 519-250-8060 or 310-PLAN and I would be happy to meet with you to discuss the road to your fresh start.

On Saturday, September 24, 2011, Doug Hoyes and Ted Michalos will be live 570 News (Kitchener) speaking about myths you have heard about debt and how to deal with it including debt consultants, pay day loans, consumer proposals and bankruptcy.

They will share their stories and personal experiences from some of the thousands of people they have helped.

Join Doug and Ted at 1:00 pm on Saturday, September 24, 2011 for this informative hour.

I am in the Leamington office today for the first time since the tornado struck on Sunday. Our office is downtown and undamaged, but I am hearing and reading stories about the destruction. As you can imagine, it has been the topic of conversation with the people I am meeting with.

But am I going to talk about a tornado on a bankruptcy blog? No I am not, but when many people tell me about their financial difficulties they talk about how they feel like they are in the eye of the storm. They know something is going to strike and they need to know how to deal with it.

It was wonderful to read that there weren’t any serious injuries in Leamington. When you read the stories in the newspaper, those affected by storm discuss that they listened to the activity outside and realized that they needed to make a plan for their safety. Financial problems are like that too.

When you realize the storm is coming, make a plan to deal with your debts. The first step is to see if you qualify for a consolidation loan or credit counseling. If you don’t qualify then a consumer proposal or bankruptcy in Windsor may be an option. If so, call me at 310-PLAN and I will help you weather the storm.

When faced with numerous loan payments and credit cards bills each month, the first step for many people is to find out if they can obtain a debt consolidation loan. The debtor (the person who owes the money) will go to his or her bank and apply for the loan. If the debtor qualifies, the bank will then give a loan and pay off the other credit card and loans. Once you receive the loan from your bank, if the bank doesn’t cut up your credit cards, you need to make sure you do it yourself. If you currently don’t have a source of income, it is unlikely you will be able to obtain a loan.

The main advantage of a debt consolidation loan is that it takes all of your debt and combines it into one monthly payment. Your new loan payment should be less than the minimum payments you were paying on your credit cards and loans. If it is not a lower monthly payment, this might not be the best option for you.

Another factor to consider will be the interest rate you will be charged. Most credit cards have interest rates between 10% and as high as 28% per year. The interest rate charged on the loan should be lower than you are paying now.

You will also need to consider any other terms the bank has. Do they want to put a lien on your car, or do they need a cosignor? If they do, you need to consider the risk to your car and the cosignor if you are unable to pay the loan in the future.

If you are able to make a monthly payment, but you don’t qualify for a debt consolidation loan, a consumer proposal might be a better option for you. You can call me in Windsor at 310-PLAN or e-mail me to discuss this option in more detail.