Debt Collection Letters – If trips to your mail box fill you with dread because all you ever seem to get are letters from people you owe money to then it's time to take back control of your money situation. I know. It's easier said than done!
Those debt collection letters can be pretty unnerving. If you are in debt and struggling financially, you probably woud do anything to avoid opening mail from creditors that insist that you pay this bill in full within 30 days … or else. To be perfectly honest with you, effective debt collectors know exactly how to word those collection letters to get people to pay up and fast!
Even harder is how to handle a debt collection agency that gets you on the telephone. Either way, you end up feeling anxious and dreading the idea of dealing with your money mistakes from last year and beyond. It doesn't matter if you pop those debt collection letters in a basket near your car keys or in a desk drawer – unless you have the money to pay the balance in full this month, you will get another one in thirty days. The only way to stop the dread and anxiety of picking up your mail or answering your telephone is to create a financial plan that you can make happen.
Before you deal with debt collectors, you need to sit down and go through that basket of household bills and collection letters to create a grand total of all your current bills and outstanding debts. This is probably the most difficult aspect of creating a home budget and ultimately, a personal financial plan but without this crucial step – you will never put a stop to collection letters and debt collectors calling you at all hours of the day.
Once you have a complete list of ALL your debts, it's time to start creating a home budget and a financial plan to get these paid off. Sound impossible? Yes, but it's all just an illusion. It can be done.
Paying off those debts may not happen in the time frame of the debt collectors or credit card companies but they will get paid AND you will be in control of every dollar you earn. That is power and financial freedom. Don't let bill collectors stop you from enjoying life on your journey to be debt free. Now, get that pile of collection letters and bills and get started. You have everything to gain with that one step.
Your next step – decide the order and amount you will pay off each debt. That is beyond the scope of this article but when you are ready for that step – remember, everything you do today to rid yourself of debt brings to one step closer to financial freedom.