COVID-19 has bought about the recession in several countries around the globe. But still, if you act right, you can save yourself from economic downfall.
Any pandemic leaves so much of unrest in the political, social, and economic aspects of every individual’s life, apart from causing a large number of deaths and infected people. COVID – 19, is no exception to it. The significant economic problems start right from tight monetary means, strict money management, budgeting, debt consolidation, debt restructuring, debt negotiation to credit consolidation. It isn’t easy to tackle all these. Here is a complete guide to debt consolidation in Alberta, Edmonton and other parts of Canada during crisis time.
Debt Consolidation during Crisis
One might expect the aforementioned economic threats in the following weeks or could have started to face, in terms of the possible creditor actions if one starts to lag in one’s payments. Here are some simple steps that one can take towards debt consolidation during this crisis:
Usually, a creditor like a bank or even a credit card company ought to sue an individual within two years after the individual stops paying the money. This period is termed as the old debts’ limitations period. But the COVID-19 crisis has resulted in the suspension of all limitation periods that exist or are up to this emergency. It implies that creditors have more duration to sue individuals to procure an old debt. But many agencies still call and ask on old debts. One mustn’t be scared but just hang the call and not pay for it, instead of immediate needs.
Prevention of Right of Offset
One, thus, ought not to regret about calls that plan to collect one’s old debts. Having no income to pay for the creditors and also having no assets so that they can’t seize, might lessen one’s worries. But, if one has a bank account in the same company one obtained money from, then the bank can take money from the account to offset or compensate any overdue payment. For avoiding such a situation, one should have a bank account in an institution where one doesn’t owe any money. But, opening accounts mightn’t be that easy as banks are closed. Thus, one can open an account in organizations like an online bank. Few instructions are given for bankruptcy and proposal clients to follow, for opening a new bank account, like knowing the mortgage deferral.
Landlord, credit score
One must pay the rent and credit card balance if one can afford too or else it would make one lag too much after things return to normal. In case, one isn’t able to; one must duly inform to the landlord or credit company and give an assurance to pay at the earliest
The aforementioned are tips to consolidate debt for easy debt relief and debt assistance. Credit720 offers Debt Management Services in Calgary, Lloydminster, and other parts of Canada. Besides this, our professionals conduct online credit counseling to provide solutions like these to help one sustain in the crisis.