Gregory Pennington: tackle debt before it becomes unmanageable
Released
on: September 2, 2008, 8:10 am
Press
Release Author: Gregory
Pennington
Industry:
Financial
Press
Release Summary: A survey by debt management company Gregory Pennington
suggests that even people in control of their financial situation
are still carefully monitoring their income and expenditure.
Press
Release Body: A survey by debt management company GregoryPennington.com indicates that
today’s economic troubles may be encouraging people in debt
to keep a closer eye on their finances.
Only
6% of those questioned saw their debt as unmanageable. Yet a full
35% of respondents who considered their debt manageable also declared
they were unhappy with their financial situation.
A
spokesperson from the debt management
company commented: “In many ways, that 35% figure is actually
a positive sign. It means people who aren’t actually struggling
with debt are nonetheless aware that their finances could be better.
They’re thinking beyond the present and considering the
impact their debts could have on them in the future.”
That
awareness is, in itself, a form of protection against financial
problems in the future. “We always remind people that the
sooner they seek professional help managing their debts, the more
likely they’ll be to avoid serious debt altogether. Keeping
a close eye on their finances is obviously key to this, as it
enables them to take action at the first signs of trouble –
and taking action in time can make all the difference between
needing to make a few short-term lifestyle changes and being forced
to live on a shoestring budget for a number of years.
“Perhaps
this is one ‘silver lining’ to all the negative economic
news we’re hearing these days. In good times, it’s
tempting to assume that the good times will keep up. It’s
human nature to focus on enjoying today when there’s no
perceived threat of tomorrow being any different. But hearing
all those gloomy predictions tends to make people think more about
the future.”
No-one,
however, has solved their financial problems by dwelling on them:
“There’s little point in someone just worrying about
their debts unless they take it a step further, making the necessary
lifestyle changes and talking to a debt specialist about improving
their financial situation.”
For
people who do this before their debt becomes unmanageable, it
may simply be a matter of cutting back on a few luxuries. “Nobody
likes economising, but a few minutes with a calculator and pencil
can prove beyond all doubt why it’s worth the effort. Exactly
how they do it is up to the individual: some choose to reduce
their spending to a bare minimum for a short time; others prefer
to sacrifice just a few luxuries every month, even though this
means their debt will take longer to clear.”
The
important thing is to address their debts sooner, rather than
later – while it’s still relatively easy to do: “Even
if someone can comfortably manage their monthly debt repayments
today, there are plenty of reasons to clear their debts at the
earliest opportunity. Avoiding interest charges might be the most
obvious reason, but interest isn’t the biggest threat: even
small debts can rapidly escalate out of control if their situation
takes a turn for the worse. If they lose their job, for example,
finding that extra money every month might be all but impossible.”
Web
Site: http://www.gregorypennington.com
Contact
Details: Melanie Taylor
melanie.taylor.gregorypennington.com
0845 056 6480
Pennington
House
Carolina Way
South Langworthy Road
Salford M50 2ZY
2009
