Get rid of your holiday debt hangover

Get rid of your holiday debt hangover

Five easy ways to consolidate your debt after the festive season.

The tree has long been packed away, but the festive debt lingers well into the New Year for many. But there are options to help minimise the ill effects.

Road to recovery

It’s easy to get caught up in the festive season of giving – and the Boxing Day and End of Year sales that follow.

Australians spent almost $30 billion on credit cards this holiday season. If you’re among the many who did so, your repayment habits could be crucial to your credit health.

Prioritise repayments

Paying off debts with the highest interest rates is a good idea. Attacking these first will reduce the total interest you pay compared to only making minimum payments.

It may hurt in the short-term, but in the long-run making larger repayments now will see you debt-free sooner.

Merge your debts

Taking out a personal or debt consolidation loan to pool your debts into one repayment may help relieve pressure.

There are various options for debt consolidation, including a home equity loan, personal loan or credit card transfer.

Some lenders are more flexible and can provide custom solutions to borrowers who need help even though they may be behind on repayments or have a credit history blemish.

Consider losing the plastic

With any debt consolidation, it is a good time to reconsider your habits. For example, replacing any old credit cards with a debit card could save you from pain down the track.

Ask for help

If you’re struggling to make repayments, reach out to your utilities, credit or loan provider before things get too difficult.

You may be able to negotiate a more manageable payment plan and breathe easier once again. For more details about debt consolidation options, contact a Liberty Adviser  today. your social media marketing partner

Approved applicants only. Lending criteria apply. Fees and charges are payable. Copyright © 2019 All rights reserved | Liberty Network Services Pty Ltd (ABN 65 151 158 628/Australian Credit Licence 408042) (LNS) is a wholly-owned subsidiary of Liberty Financial Pty Ltd (ACN 077 248 983/Australian Credit Licence 286596). Liberty Network Services has access to products including those from Liberty Financial.