Over-indebtedness means being unable to borrow and therefore seize real estate or even professional opportunities. The factors of over-indebtedness are numerous but there are a few tips to avoid getting engulfed in this downward spiral.
First of all it is important to have a medium or long term vision of your finances and your monthly income. You will then have to anticipate so as not to find yourself in a situation of over-indebtedness.
Then, think about insuring your credit as it is and thus protect yourself against a loss of work or an accident . Be sure to read the entire insurance contract so as not to have any unpleasant surprises.
You can also save . While it's not a regular practice for most of us, put money aside in an account or life insurance every month. If an emergency arises you will be able to use this savings without encountering financial difficulties.
If you are having difficulty repaying a bank loan , make an appointment quickly with your banker and explain your situation to him so that he can find the best possible solution as soon as possible. It is also possible to get information from credit organizations. The Caf can also make you a loan with its social micro-credit.
It is advisable to avoid revolving credits when the financial difficulties are too great.
Finally, if none of these solutions works, all you have to do is file an over-indebtedness file with the Bank of United States . This process is free. If your file is accepted, it will be up to the over-indebtedness commission to negotiate your debts with the creditors.
Ultimately, to avoid over- indebtedness , you must adapt a good lifestyle according to your social status - unemployment, salaried employment, self-employed person scheme, higher education, etc. - your daily consumption, your consumption habits . Be sure to sort these, those that are essential and those that are incidental. As the following French expression says, you have to know how to keep reason, which implies that it is up to you not to live beyond your means or to spend lavishly .