Do you have difficulty managing money?

Maybe the recession didn’t help, adding a whole new dimension to the problem. Tons of people lost their jobs or faced foreclosure.

Those who aren’t necessarily financially savvy were left in the dark. Few traditional financial institutions were lending money because they had already exposed themselves to risk and new lending simply increased the risk. The basis for being approved for a loan had always been primarily based on the applicant’s credit score.

If that was low few traditional financial institutions looked any further into the application.

Worrying Figures

A recent survey commissioned by the National Foundation for Credit Counselling suggested that the problem is still extremely widespread even though consumer confidence is returning and unemployment falling.

In an ideal world people should be meeting their regular bills but also putting money away for emergencies and toward future retirement.

It seems that almost half the population is not doing so and a figure of almost 40% has credit card balance debt that they cannot pay off and it is incurring high interest every month.

Credit Cards

A new breed of lender operating exclusively online.

If you’re in financial trouble, begin by sitting down and writing down regular income and expenditure in two separate columns. Some spending issues may jump out immediately.

If this is you, you may notice a lot of your money is going to interest on those credit cards.

Every credit card company expects a minimum monthly payment but that really does not reduce the core balance.

That needs immediate attention and a consolidation loan may be your answer. Consolidation loans are available even to those with a poor credit score but you must discipline yourself to plan your financial future because you are unlikely to get a second chance if you use your credit card and build up debt once again.

The Present

Good online lenders place more importance on an applicant’s current status when looking at a loan application.

They require information that identifies you, name, address and citizenship. You will need to provide evidence of your regular income and support it with details of your bank account.

As long as it appears you are capable of making the regular repayments until the debt is settled in full you’ll be approved. If you have a poor credit score it is likely to be reflected in the interest rate you will be charged but otherwise the credit score is no impediment.

The whole process from application to your receipt of the money is likely to be within 24 hours so even if you have an emergency there is no reason to worry. It’s important to find a reputable lender because there are companies of questionable reputation.

You do not want any of your private information to be accessible to others so the company to use is one that can demonstrate its commitment to service and confidentiality.

The credit card scenario is just an illustration of the kind of problem that can develop for you if are not careful with your finances. You have to ask yourself whether you are wasting money each month.

If you are struggling to meet your regular monthly bills then unless you have ideas about extra sources of income you will have to analyze your spending and make savings. Remember that you have to think about emergencies and retirement which you may be having to ignore when you are struggling with day to day living.

Perhaps it is time you took the first step to improve your finances?