Dos and Don'ts

Dos

• Do get advice
  • Visit or contact your local Citizens Advice Bureau on 0870 121 2044 (national rate).
  • Contact National Debt Line on 0800 808 4000.
  • Call Consumer Credit Counselling Service on 0800 138 1111.
  • If your situation feels hopeless and you are depressed or desperate, call Samaritans for support, on 08457 90 90 90 (local rate).
  • Remember that calls to 0800 numbers are not free when you dial from a mobile.

• Do get in touch with your creditors
  • Start by making a list of all the people you owe money to and how much you owe them. Then talk to them, explaining that you are having problems and you want to agree on the best way to pay the money back.
  • Companies are more likely to be helpful if you contact them as soon as you realise there might be a problem paying a bill or making a payment.
• Do give priority to those debts which could mean you lose your home or your gas or electricity supply
  • Remember that creditors usually prefer small regular payments rather than larger, irregular payments.
• Do reply to letters from your creditors
  • Keeping creditors informed of your situation allows them to work with you to reduce the debt.
• Do keep copies of all letters and statements
  • This will help you to keep to any arrangements you have made with your creditors. Keep copies of letters you send them, not just those you get back.
  • Sign and date any letters you send.
• Do work out a personal budget
  • Follow our straightforward budget advice. This will help you to work out how much you can afford to repay while still making the other payments you have to make every month.
• Do avoid getting into debt again in future
  • Check out the rest of the ask:ted website for tips on avoiding further debt

Don'ts

• Don’t give up trying to reach an agreement.
  • Your creditor may refuse your first offer, but keep talking to them.
  • It’s always best to show you are serious about working with your creditor to repay your debt.
• Don’t let your creditor bully or threaten you into making a promise that you can’t keep.
  • Always be honest and realistic about what you will be able to repay by a given date. Don’t just tell your creditor what they want to hear.
• Don’t borrow more money to pay off your debts, especially by taking on more credit or store cards. This will just increase your debt and make the problem worse.
  • If you do choose to get a loan – for example, if you know some money is due to you in the longer term but need to repay a debt in the short term – talk to a debt adviser such as Debt Line first, to check this is the best option for you.
  • Never use high-interest loan sharks or doorstep lenders. Find out how to get affordable credit – but avoid loans altogether if possible
• Don’t ignore the problem
  • Your debt will just get worse if you ignore it, and cause you more and more stress.
  • The people you owe money to will be less understanding if you have let the debt grow before contacting them.