Assess and prioritise your Debt

Assess and prioritise your Debt

You may have a mortgage or pay rent, a credit card, store credit, a personal loan from a credit union, moneylender, bank or building society, a store card or owe money to a catalogue company.

Check with your creditor to see if you have Repayment Protection Insurance that will meet loan your repayments for a specified period of time if you are forced out of work by an Accident, Sickness, Involuntary Unemployment or Critical Illness.

To assess your level of debt and make a more informed decision click on Overweight's Debt Workout and go through the type of credit that is relevant to you Click Here

Tip: When you have finished visiting Overweight's Workout and wish to return to this Workout, hit the Backward Key at the top of the Overweight's Workout page.

Whatever level of debt you have, it is important to prioritise your debt.

Mortgage/Rent and electricity are your first prioritises

If some of your creditors are threatening legal action action then they need to be addressed as the consequences of ignoring legal issues can be severe and can affect your credit rating.

Always try to keep at least one Source of Credit open. If one of your creditors can help you clear your other Debts then they too need priority payment.

MABS (Money Advice and Budgeting Service) on their website www.mabs.ie offer very good guidelines on how to Assess your situation and how to evaluate and prioritise your Debts. Download these guidelines here

MABS also include their own Debt Assessment Sheet download here