A Mortgage is a long term debt to help finance the purchase of your home, leaving you with a financial asset when it is paid off.
Everywhere you turn it seems credit is being offered, credit card offers in the mail, at the supermarket and "Buy Now - Pay Later" incentives. If you're choosing a credit card for a rewards program, for example to take that free flight, make sure the benefit is greater than the annual fee.
And because each one has a different due date, minimum payment, and interest rate, it doesn't take long to feel like your debt is a little beyond your control.
Plus, you might find that while you're always making payments, your debt isn't actually going down.
With the RBC Homeline Plan: Bill - Branch Manager If you are in a situation where you have multiple debts - such as a mortgage, loan, credit line and credit cards it is important to understand what your debt is so you can manage it.
Make a list of the debt you have, along with the interest rates you are paying on each.
Some people prefer a debt management plan, while others benefit from simplified singular payment of a consolidation loan.
If you have three different credit cards with debts of, for example, ,000, ,000 and ,500, you’re likely to also have three different interest rates and to be making three different repayments at different times each month.While consolidating debt certainly has merits, it is not the right choice for every individual.Above all, the approach has to match the need and the comfort level of the borrower.The interest charged on these types of offers is usually quite high, and if you don't pay it off, in full, by the due date, you may owe the interest from the time of the initial purchase.All of a sudden that couch could almost be double the price!
If you are feeling overwhelmed with debt, or just need a helping hand to learn how to manage debt we are here to help. Tara - Branch Manager Many of us have debt in a number of different places.