Volunteer Nanaimo Debt Free Program

Are you getting too far in debt? The latest statistics from the
CBA (Canadian Bankers Association) show that in 2006, Canadians spent over 200 Billion dollars using a credit card.

In 2005, for each dollar of disposable income, Canadians owed $1.16. If you are in this category of every $1000 you earn, $160.00 is paying for something you already own, have consumed or are paying interest on. Recent figures from Statistics Canada show on average, Canadians had $13.52 in debts for every $100 in assets. This debt burden rose to $39.40 per $100 of assets for younger familys where the major income recipient was under the age of 35.

Not paying off your Credit Card debts will bury you in interest charges. The way some companies calculate minimum payments, it could take 30 years to pay off your original purchase. You'll pay four times the original cost in finance charges.

Numerous life events can have long lasting financial ramifications. Without a plan, and some serious work, the effects can touch your life in unexpected ways. Most prospective employers will pull a credit report as a character reference. What if yo need to move?
Most rental/lease appllications include a credit check.

You can easily make the changes required to get these debts paid down, save some money, and live your life DebtFree. Volunteer Nanaimo is pleased to offer a number of programs and resources that can help you along the way. Our team of coaches will work with you to develop a plan to afford your life. Don't hesitate, its costing you money everyday, you're probably already spending money you haven't even earned yet.

Lower Your Interest Rates

Call your credit card companies, tell them you’ve got offers
for cards at lower rates and ask them to lower your rate.
Not sure what to say? Follow Jean Chatzky’s script:

"I have [name of card] with you and my interest rate is [X] percent.
I received another offer in the mail from [other bank's name] for [X] percent, but before I take it, I want to see if you can lower my interest rate instead."

If the representative says they're not authorized to do that, you say:

"Look, you and I both know that if I transfer my balance today, next week your bank is going to send me an offer to come back at an even lower rate. Why don't y ou just save the bank the cost of that effort by giving me several points today?"

If the rep says it's not possible because your credit card is at a fixed interest rate, you say:

"Actually, that doesn't have anything to do with whether or not you have the ability to lower my interest rate. A fixed interest rate only means that my rate doesn't vary with fluctuations in the prime rate. In fact, the bank can raise it on my account at any time by just giving me 15 days written notice. And the bank can, if it chooses, lower the rate today."

If the rep still says they're not authorized to do that, you say:

“I'd like to speak to your supervisor."

Then speak to a supervisor and follow the above script again.

Please note: This is general advice. You should consult with an advisor before making any major financial decisions. Volunteer Nanaimo is not responsible for any losses, damages or claims that may result from your financial decisions.

Make a Plan
Click below to start your new
"Debt Diet"

Click here to check out our new "Debt Diet"

Below you can download & print this simple worksheet that can help you get your financial life back on track:

Spending Planner

Rebuild your Life

Now that you have a plan, here are some Tips & Resources
that can help you stay on track and get those debts paid down.

Tip #1 Pay on time.

Making your payments when or before they are due is the easiest and most important way to protect your credit record. Added to this, on time payment means no late fees, and no adverse marks against your credit record either. Proactively managing your debt with on-time payments is the best way to avoid defaulting on your account through late payment, an activity that is a large source of fees for credit providers. Paying on time might be difficult, but it becomes even harder when you must find an extra $30 - $50 in late payment charges.

Tip #2 Work closely with Your Creditors

An excellent way to improve relations and get flexibility with creditors is to communicate and work with them. Nearly all credit providers have debt management plans, and many other options like suspended payment plans if you are finding repayments difficult. Talking to your creditors is the best way to get flexibility and ease pressure. They will not just go away if you don�t, and a lack of communication is a sure-fire way to make your situation much worse.

Tip #3 Pay out your Credit Cards

Credit cards are one of the most expensive forms of credit, and an important step in proactively managing your debts is to pay off these cards as quickly as possible. Prioritizing payment of your credit cards as part of a debt management plan will yield unexpected results. Your overall debt levels will drop faster as these cards nearly always charge the highest rates of interest, an minimizing the amount of interest you pay is an important step in proactively managing your debts.

#3-2350 Labieux Road,
Nanaimo, BC V9T 5M6
phone: (250) 758 – 7121
Fax: (250) 758 – 7106

Executive Director
Marjorie Driscoll
mdriscoll.vn@shaw.ca

	Volunteer Nanaimo DEBT FREE PROGRAM	Stop throwing your money away
	Volunteer Nanaimo can help get your financial life under control. Are you getting too far in debt? The latest statistics from the CBA (Canadian Bankers Association) show that in 2006, Canadians spent over 200 Billion dollars using a credit card. In 2005, for each dollar of disposable income, Canadians owed $1.16. If you are in this category of every $1000 you earn, $160.00 is paying for something you already own, have consumed or are paying interest on. Recent figures from Statistics Canada show on average, Canadians had $13.52 in debts for every $100 in assets. This debt burden rose to $39.40 per $100 of assets for younger familys where the major income recipient was under the age of 35. Not paying off your Credit Card debts will bury you in interest charges. The way some companies calculate minimum payments, it could take 30 years to pay off your original purchase. You'll pay four times the original cost in finance charges. Numerous life events can have long lasting financial ramifications. Without a plan, and some serious work, the effects can touch your life in unexpected ways. Most prospective employers will pull a credit report as a character reference. What if yo need to move? Most rental/lease appllications include a credit check. You can easily make the changes required to get these debts paid down, save some money, and live your life DebtFree. Volunteer Nanaimo is pleased to offer a number of programs and resources that can help you along the way. Our team of coaches will work with you to develop a plan to afford your life. Don't hesitate, its costing you money everyday, you're probably already spending money you haven't even earned yet. Lower Your Interest Rates Call your credit card companies, tell them you’ve got offers for cards at lower rates and ask them to lower your rate. Not sure what to say? Follow Jean Chatzky’s script: "I have [name of card] with you and my interest rate is [X] percent. I received another offer in the mail from [other bank's name] for [X] percent, but before I take it, I want to see if you can lower my interest rate instead." If the representative says they're not authorized to do that, you say: "Look, you and I both know that if I transfer my balance today, next week your bank is going to send me an offer to come back at an even lower rate. Why don't y ou just save the bank the cost of that effort by giving me several points today?" If the rep says it's not possible because your credit card is at a fixed interest rate, you say: "Actually, that doesn't have anything to do with whether or not you have the ability to lower my interest rate. A fixed interest rate only means that my rate doesn't vary with fluctuations in the prime rate. In fact, the bank can raise it on my account at any time by just giving me 15 days written notice. And the bank can, if it chooses, lower the rate today." If the rep still says they're not authorized to do that, you say: “I'd like to speak to your supervisor." Then speak to a supervisor and follow the above script again. Please note: This is general advice. You should consult with an advisor before making any major financial decisions. Volunteer Nanaimo is not responsible for any losses, damages or claims that may result from your financial decisions. Make a Plan Click below to start your new "Debt Diet" Below you can download & print this simple worksheet that can help you get your financial life back on track: Spending Planner Rebuild your Life Now that you have a plan, here are some Tips & Resources that can help you stay on track and get those debts paid down. Tip #1 Pay on time. Making your payments when or before they are due is the easiest and most important way to protect your credit record. Added to this, on time payment means no late fees, and no adverse marks against your credit record either. Proactively managing your debt with on-time payments is the best way to avoid defaulting on your account through late payment, an activity that is a large source of fees for credit providers. Paying on time might be difficult, but it becomes even harder when you must find an extra $30 - $50 in late payment charges. Tip #2 Work closely with Your Creditors An excellent way to improve relations and get flexibility with creditors is to communicate and work with them. Nearly all credit providers have debt management plans, and many other options like suspended payment plans if you are finding repayments difficult. Talking to your creditors is the best way to get flexibility and ease pressure. They will not just go away if you don�t, and a lack of communication is a sure-fire way to make your situation much worse. Tip #3 Pay out your Credit Cards Credit cards are one of the most expensive forms of credit, and an important step in proactively managing your debts is to pay off these cards as quickly as possible. Prioritizing payment of your credit cards as part of a debt management plan will yield unexpected results. Your overall debt levels will drop faster as these cards nearly always charge the highest rates of interest, an minimizing the amount of interest you pay is an important step in proactively managing your debts. Contact us for more information Volunteer Nanaimo #3-2350 Labieux Road, Nanaimo, BC V9T 5M6 phone: (250) 758 – 7121 Fax: (250) 758 – 7106 Executive Director Marjorie Driscoll mdriscoll.vn@shaw.ca	You can do it! Here's some tips Call us today
		Volunteer Nanaimo 250-758-7121
	This Volunteer Nanaimo program is made possible by:

Volunteer Nanaimo

DEBT FREE PROGRAM