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Debt Resolution: Setting Realistic Goals

24 April 2012 One Comment

Even though most consumers don’t get into debt overnight, they are looking for instant solutions to resolving their financial problems once they occur. Although we live in a society of instant gratification, it is completely unrealistic to think you can undo what may have taken years to build up. Anyone buried under mountains of debt cannot expect to simply walk away unscathed without making an effort to resolve the issues.

It is important to first realize that most of the time there is at least one solution to debt problems but it may take setting realistic goals to work your way out of it. Some young couples are delaying marriage by as long as three years while newlyweds are waiting an equal length of time to start families.  All because they want to get their financial life in order.

According to Clare Francis, a respected consumer finance expert, more and more people are putting off major life events in order to avoid further debt while giving them time to work their way out from under the debt they are currently in. Traveling is another area in which consumers are not spending money since they would rather chip away at debt or save money for the future.

Many experts are concerned that the number of Americans furthering their education may suffer given the fact that student debt is becoming a nightmare as American tuition fees rise. The cost of a US university degree has left people’s finances squeezed and the duration for borrowing loans has grown. In 2010 the total outstanding student debt in the United States reached $1 trillion, according to the National Association of Consumer Bankruptcy Attorneys. The cost of education is being measured but it shouldn’t be a deterrent to better yourself in life.

Too many people feel that they can seek the advice of a debt adviser and be free of debt when they wake up the next morning. Even in bankruptcies this is unrealistic and it’s why it’s so important to pick a financial adviser who will help set realistic goals. Whether they advise filing bankruptcy, an IVA, a DRO or a debt management plan, things will take time. We have heard it said that “Rome wasn’t built in a day”, the financial rebuild won’t be either.

Certainly all that debt most families have accumulated didn’t just appear overnight and it will not go away overnight either. Setting realistic goals is the surest way to working to a debt free life.  Seeking professional advice can help you set those realistic goals.

Burying your head in the sand won’t make your debts go away. Use 2012 as a stepping stone to getting your life back on track but make sure you remain sensible in the number of objectives that you can complete. You are more likely to succeed by setting reasonable and achievable aims.

Bio: Debt Free Me is not only a founding member of the prestigious Debt Resolution Forum but one of the leading debt management companies in the ​UK. Advice is always based on the particular circumstances for each individual consumer and fees are only charged when services are provided. Advice is always free of charge.

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