The QUEST Centre Community Initiatives

It is, however, an important issue because it will determine how much extra interest you pay on your debts and how quickly they will be paid off. What about the overtime money that you didn’t count above – could it be applied to the debts to reduce them more quickly?

When it comes to using credit cards, it should go without saying – put a twist on an old advertising slogan and “Please leave home without them.”

One can easily be lured by RRSP ads at this time of year showing seniors cavorting on a beach or playing golf. However, unless your debts are charging less than 5% interest or your investment advisor can earn you double-digit returns with no risk (which would involve committing some type of felony) it is likely better to leave the investments until the debts are paid.

Once the decision has been made about how to allocate the money, a simple tracking procedure can be employed to record all expenditures and compare them against the plan regularly – at least weekly. This way, if you are veering off course, you can prevent your budget from having a Titanic-like experience with a financial iceberg.

There will be obstacles along the way to challenge you, but planning how to spend your money, including how much to allocate to debt reduction, is always a good start. It’s just one small step in the right direction, but one huge leap toward getting your debts paid off. Good luck!

Local service is available at the Quest Centre in Glencoe by request. For more information or to book an appointment call 433-0159 ext 7151 or email info@creditcounsellingthamesvalley.ca
or visit our website at www.creditcounsellingthamesvalley.ca.