how much debt do you really have?
DESCRIPTION
Understanding how to perform your own initial debt assessment is the first step in becoming debt free. It provides the necessary starting information to develop a repayment plan to help you get out of debt.TRANSCRIPT
How much debt do you really
have?A step-by-step guide
www.hoyes.com
Table of ContentsWhy Debt Assessment Matters
Step 1: Make a list
Step 2: Collect information
Step 3: Make Contact
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Understanding the amount of debt you have is the first step towards improving your financial situation.
It may be a bit frightening to think about adding it all up. However, you will be providing yourself with a necessary, measureable starting point towards getting out of debt.
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Why Debt Assessment Matters
Make a list of all your creditors (everyone you made a payment to in the last year). Then go online, call, or mail your creditors to learn how much you currently owe them.
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Step 1: Make a List
To find out who you owe money to, start by pulling copies of your old statements from at least the last year. This includes loan statements, utility bills and bank statements.
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Step 2: Collect Information
Step 2: Collect Information
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If you are missing statements, the best way to get a clear picture of what you owe is to contact Canada’s major credit-reporting agencies to request a copy of your credit report.
Missing statements?
Step 2: Collect Information
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There are two ways to obtain a credit report from Equifax Canada and TransUnion Canada:
Missing statements?
You can apply for a copy by mail for free.
You can apply for a copy online for a fee.
or
Step 2: Collect Information
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Due to the fact that lending institutions may report at different times with different agencies, it’s best to request a report from both. You should also contact your lenders to confirm your current balance payable.
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Step 3: Make Contact
Once you’ve gathered all of your information and have a complete list of who you owe, you then have two options for next steps:
Contact your creditors to make payments.
Take this information and book a consultation with a debt advisor.
or
Option 1: Contact your creditors to make payments
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Step 3: Make Contact
It’s a good idea to keep a detailed spreadsheet that lists the following:
1. Who you are paying2. How much you are paying them each
month3. When you will pay them each month
Option 2: Arrange a consultation with a debt advisor
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Step 3: Make Contact
If at the end of this exercise, you find that your debt seems unsurmountable, you can schedule a consultation with a debt advisor – such as a trustee in bankruptcy.
Option 2: Arrange a consultation with a debt advisor
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Step 3: Make Contact
When you attend the initial consultation with your debt advisor, be sure to take your list of debts. Then, together you and your advisor can work out the best plan to help you get out of debt.
There is hope. You can be debt
free. Schedule Your FREE Debt Consultation
Or give us a call at 310-PLAN