At its core, debt is a sum of money that is owed to another party. While many view debt to be a bad thing, this is not always the case. Many people require debt in order to carry about their day to day life. An everyday example of this is a credit card. You use the banks money to make a purchase with your credit card and as a result owe the card provider the sum of the purchase. The benefit to the card provider is that there is often an additional charge for using this convenient service.
Debt management is about ensuring you adhere to the agreed terms of your loan and pay back the balance in the agreed installments and time frame. This can also be referred to as servicing your debt. While it may sound simple enough this process can often become clouded when a person is in debt for more than one reason. If repayments are missed this can often result in fees and charges which can unfortunately put a person in a position where they are unable to pay back installments.
Debt consolidation is about making the management of your debt simpler. It aims to bring all your debt together with one institution, rolling it into one payment, reducing the likelihood of default (missing the repayment). Debt consolidation is a way of simplifying your debt to ensure that your loan is working for you and not against you. At Australian Lending Centre we’re experts in debt and debt consolidation. If you still find yourself asking the question “what is debt?” give us a call and we’ll be more than happy to chat and help you get your finances under control!
A bad credit history will usually mean that traditional lenders see you as a credit risk and therefore, it will be more difficult to obtain finance. However, the Australian Lending Centre can provide support to those seeking bad credit loans and find the most competitive interest rate with the best terms of repayment available. For more information on bad credit loans, view our bad credit loans page or contact the Australian Lending Centre today on 1300 138 188.
A bad credit rating has an impact on your ability to borrow money from traditional lenders.
However, there are a number of things you can do to fix your bad credit rating. Here are a few tips we suggest:
A bad credit history will never be repaired if you have black marks and outstanding defaults on your credit file. If you are struggling to pay off your debt, you should consider talking to the Australian Lending Centre about negotiating with your creditors or entering a debt agreement to pay off your debts. If you are unsure of what needs to be done to repair your bad credit rating, we can chat to you about how to go about fixing this and let you know about your options for obtaining a bad credit loan.
Contact the Australian Lending Centre – we can help you obtain a copy of your credit file. Once you have your credit file, you can see if any credit reporting agencies have made any errors by placing a black mark on your name. Sometimes this can happen when a name is misspelled (and black marks are incorrectly assigned to you instead of somebody else). You can challenge these errors that have led to a bad credit rating and in doing so, correct you bad credit history.
Credit cards and store cards are one of the quickest ways to get a bad credit rating. When you miss a few months of payment, your credit card provider can place black marks on your credit report which can take years to be removed. Credit card debt is one of the easiest ways to get into trouble as many people are accustomed to relying on credit card debt to get them through life when they do no have sufficient funds to finance their lifestyle. Even when credit cards are paid off, they can be run back up to their limit in very little time.
With such high interest rates on credit card debt and store cards, the best option is to simply cut up your credit cards and stop spending on them. This means changing your spending habits slightly, for example, using a debit card instead of a credit card.
This may help you prevent another infringement or black mark leading to a bad credit rating.
Our loans start from $5,000. We can advise your maximum limit over the phone once we have assessed your individual situation.
After debt relief, ALC vows to lead you to better and more effective personal finance.
We can approve your loan over the phone and provide funds in as little as 24 and 72 hours providing we are satisfied that you meet all documentation, loan suitability and ability-to-pay requirements at the time of application.
This is a common scenario – you are not alone. We understand sometimes life can throw tough times at us, and you may have had difficulty with making payments on time. Our consultants will look at your situation and discuss the best finance solutions available to you.
I am in arrears with my home loan. How do I get back on track?
We will cover any upfront costs that may be incurred and recover them once your loan is settled.
We service the entirety of Australia in both urban and rural locations.
We will always try to find the best repayment plan for you. Debt consolidation would be an ideal option to reduce the interest and save you thousands. Refinancing is another great alternative.
Debt consolidation is the process of taking two or more loans and combining them into a single loan (a ‘debt consolidation loan’) that can help you to save money by reducing the amount of interest you pay, reduce repayment periods and improve personal cash-flow. Debt consolidation also makes your life a little easier by giving you one easy-to-manage repayment. A debt consolidation loan can pay off your credit cards, personal loans and even your home loan, and provides you with greater financial freedom. Contact the Australian Lending Centre right away to learn about your options for debt consolidation.
Credit card consolidation is simply taking out one loan (a debt consolidation loan) for the purpose of paying off two, or several credit card debts.