The majority of people are in some type of debt, whether it be owing money on a mortgage, not being able to pay bills, having credit card debt, or simply not being able to pay your phone bill. There are a number of simple solutions to help you battle debt, whether you need a lot of money or a little just to scrape by. We have outlined some of the possible solutions and tools to help you along the way below:

Informal Arrangement

This type of agreement is best for those with short-term or one-off debt problems. Maybe you are finding it difficult to make a repayment or pay off a bill due to other financial constraints. This arrangement is informal, meaning you make an agreement with your creditors that isn’t contracted – simply a spoken agreement that they will hold off on collecting your payment until a specified date, or you will make a smaller repayment.

Debt Agreement

This is the formal version of the above – a written, contracted agreement with your creditors to pay your debt off in a different way than initially contracted. This usually means paying off a debt over a longer period than before, and all interest is stopped. There are a number of criteria to be met if you wish to enter into a debt agreement – take a look here for more information. If you do choose to go down a debt agreement path, whether it be formal or informal, we recommend using budget tools and carefully monitoring what you and your household spends money on every month.

Loan Refinancing and Debt Consolidation

This is for those who are in a little more financial trouble than just needed a spoken informal arrangement. Loan refinancing is just as it sounds – acquiring a new loan to replace your existing one, with different conditions and payment details. This could be a home mortgage, personal loan, or other loan. Debt consolidation equates to bundling all your debts together so that you only have one payment to make each month or payment period. We recommend this, as it is much easier to keep track of what you owe and what you have paid, plus can also lead to lower interest rates and repayments.

Personal Insolvency Agreement

A person will enter into a Personal Insolvency Agreement, also known as a Part X, after they have attempted to use an informal or formal debt agreement. There are a number of different versions of a Personal Insolvency Agreement, and it does all depend on your creditors and advisors, and which avenue you choose to go down. This could mean a sale of all your property, (take a look at bankruptcy below), or your creditors may choose to allow you to make payments in installments over time. There are a number of conditions related to a PIA, so take a look here if you’d like to know more.
Bankruptcy

Bankruptcy is a scary word, but as we know from the current economic climate, it isn’t all the uncommon. It is definitely only to be used as a last resort however, and all of the above avenues should be utilized before you consider bankruptcy. Bankruptcy can be voluntary, or can be forced if your creditors choose to take you to court over unpaid debts. More information about bankruptcy can be found here.

Although all of these solutions are extremely effective, it can be difficult to decide which avenue to go down, or what is best for your financial situation. At Australian Financial Solutions, we endeavor to eliminate the jargon, and set everything out plainly for you, so you can see your options and we can advise what might be best for your situation.

Contact us now on 1300 237 669 or enquire online for a free Financial Assessment, or to have a chat to one of our experienced finance professionals.

We’ve come up with a few tips to help you during the holiday period.

Budgeting is key

We do mention budgeting quite a bit, as it is the most important part of handling your finances. It’s not too late now to budget out what you are going to spend on each aspect of Christmas – how much you will spend on presents, food, alcohol and so on. Put money away in a separate account, or do your Christmas shopping before the rush – when prices are often raised. Use budget tools like a planner to figure out how much you have, and how much you need. If you are running low, why not do away with that extra coffee, or don’t eat out this week? Every little bit helps!

Organise plans early

Are you having Christmas lunch at your house? Do you have to travel around on Christmas day? Organise everything early to make sure you don’t end up overspending at the last minute. If you are having Christmas at your place, make sure to take advantage of early sales on decorations and food – prices will only hike up as it gets closer to the end of December. Get creative and get the kids to make some decorations, or ask everyone to bring a plate for Christmas lunch. Budget out how much you will need for each aspect of Christmas – it may seem like you won’t spend too much, but budget it out and see what you’ll really end up spending.

Manage your debt now

If you know that you won’t be able to afford the Christmas period, or wish that you had a few extra dollars to spare, don’t ignore it – deal with your debt now. There are many different debt solutions and management tools to help you through. If you are struggling with keeping up rent or mortgage payments while buying presents and decorations, it might be best to take a look at loan refinancing or debt agreements. You may even be able to enter into an informal arrangement with your creditors, and agree on a time to repay money when it is more feasible for your financial solution.

All of this can be quite overwhelming, particularly if you or your family are already struggling financially or heading towards debt. It might become difficult to make rent or mortgage payments, kids school fees, general bills and so on. There are number of debt solutions out there to improve your situation. Loan refinancing or debt consolidation can be arranged for those with personal, family or business loans. Debt agreements and financial informal arrangements can be sorted out to suit your personal, business or family needs and ensure that you get back on the right financial track.

The government isn’t offering many solutions for those who are in debt or struggling, which is why you need to take your finances into your own hands. It is all too easy to blame the economic climate, the government, the banks for your financial struggles – and it’s likely that one or more of those factors has contributed. However, it is important to not ignore your situation and to seek help. Financial advisors can assist you with debt solutions, and there are also website tools and online information to get you started.

So if you are ready to take your finances into your own hands and not let the economic climate affect you, why not give Australian Financial Solutions a call today for professional advice and debt solutions? Contact them via their website or call them on 1300 237 669.

We have summed up five of the key reasons as to why booking an appointment with a financial advisor is the best solution:

1. 1. Expert advice. This may seem like an obvious one, but it is generally overlooked. Financial advisors often have decades of experience in their field, and know exactly what they are talking about. Reading bills or contracts with financial jargon can be extremely daunting and can often lead to mistakes, so seeking the advice of an expert is a great idea – they can help you decipher the jargon, make sense of your finances and point you in the best direction.
2. 2. Tailored to your circumstances. Financial advice from specific financial solution companies are tailored to your personal needs. When asking advice from your bank, mortgage lender or other big corporation, they are only able to advise you in a general way –everybody gets the same treatment. However when seeking debt assistance or finding a way to manage your debt, financial advisors sit down with you and work out the best solutions for your personal situation.
3. 3. Solutions, solutions, solutions. Australian financial advisors can suggest and provide many different answers and solutions to your debt problems. When trying to find your own solution, the task can become overwhelming, and often banks and other institutions are not forthcoming with adequate advice. Financial advisors can proffer a number of different solutions including: debt arrangements, debt management, loan refinancing and debt consolidation, and many more.
4. 4. Free service. It is a common misconception that visiting a financial advisor is expensive. However, many Australian financial advisors charge no fee whatsoever for phone calls and initial consultations, and often even after extensive advice will still charge no fee.
5. 5. No more confusion. Financial advisors can explain the jargon, talk to the creditors and banks for you, and provide you with endless information and tools to assist in your process back to financial stability. Advisors are there for you to utilise and can help out no matter what your personal circumstances may be.

So if you are sick of dealing with endless large corporations, listening to hold music and staring at the piles of financial papers on your desk – why not call Australian Financial Solutions today for top level financial solutions and advice? Contact them via their website or call them on 1300 237 669.

1. Keep records of everything. This means your interest rates, your terms and conditions, make a repayments schedule, and ensure you are fully aware of everything. This sounds simple and you have probably heard it all before – but it really does help to undertake a positive debt management routine. This is not just for credit cards – it is important to add up all the money you owe, as scary as that may be! This is where debt consolidation and loan consolidation can come in handy.
2. Know what you are getting into. Are you looking at getting your first card, or maybe upping your limit? Make sure you know exactly what it is you are signing up for. Take into account your earnings, your expenses, and make sure you read the terms and conditions – no matter how boring they are. Ensure that you really need a card – you would be surprised at how often they aren’t needed!
3. Utilise the tools around you. This cannot be stressed enough – people often ignore the simplest of tools and avenues that could mean the difference between personal insolvency and healthy spending habits. Internet tools like budget planners, loan repayment and credit repayment calculators, and there are a number of websites available offering advice on credit loans.
4. Talk to a financial adviser. Financial advisers know what they are doing! They can help you out with consolidating your debts, preventing personal insolvency, and making sure that you get on track with your debts. They are qualified, confidential, and are all about your personal situation.

So if you are feeling overwhelmed by your credit card debt, are looking at getting your first card, or simply need some help with the fine print, why not get some help? Talk to a financial adviser at Australian Financial Solutions today for top level financial advice and solutions to ensure your debt is effectively managed. Contact Australian Financial Solutions via their website or on 1300 237 669 for debt advice, and to create a personal financial plan to ensure you never have to worry again!

First off, we know it is tough, but do you need the item? A new car is often a necessity, and so are other basic belongings like furniture or appliances for your home. However, do you really need that new flat screen TV? And can you afford to put down a deposit on an apartment? Make sure you weigh up your options – can the item wait until next month, so you have more time to sort out your finances? When you have gone through the process of questioning your purchase, if you do come to the decision that you do need the item, there are a few more options. Firstly, make sure you have the money to spend. If you do, go ahead! But if you don’t have the money to spend or are not too sure, there are a few other options to consider: personal loans, debt consolidation, and refinancing to name a few.

What other outgoing expenses do you have for the month? It is important to keep up with what bills are due, when rent or mortgage repayments are coming up, if it is time to pay the kids school fees or  maybe time to pay off a holiday. Finances can often become confusing and bills can be forgotten about or lost when trying to juggle everyday life. Why not try using a budget planner to keep up with monthly expenses, or visit a financial planner to set up a schedule? If you are paying off a few debts, why not talk to a financial adviser about consolidating your debt, or making an arrangement to simplify your loans and bills?
In short, it all comes down to one simple question: do you have the money? Too many individuals choose to purchase expensive items without carefully researching both the product and their own financial situation. Ensure that you are in control of your finances rather than your finances being in control of you.

Talk to a financial adviser at Australian Financial Solutions today to make sure you can afford that new car or flat screen TV whenever you like. Australian Financial Solutions can assist you in creating a specific budget plan for your personal situation, and consolidating any debts you may have acquired. Contact us on 1300 237 669 for debt advice and assistance.

Australia currently has the highest mortgage repayment rates of any country in the world, and purchasing out of your price range is not something to be taken lightly. It may be that you need to get out of your current living situation fast and paying out of your price range is necessary, or maybe you and your partner have just found your dream home and can’t quite afford it. In these situations, you do have options, and we would like to offer you some handy tips to think about before you take the first step.

Use the tools available to you: There are finance tools available on the Internet as well as from financial advisors that should not be overlooked. Tools like Loan Repayment Calculators and Budget Planners are worth their weight in gold, and can help you to figure out whether you do have the money to spend. Financial advisors can also assist above and beyond with working out if you do have the money to spend now, whether or not you will have it in the future, and they can also offer some financing options to help you along the way.

Finance options: There are many financing options available to you, whether you need some help with repayments, need a loan to purchase a property or to pay off the property you already own, or just need some assistance with rent agreements or payments. Debt consolidation ; putting all your debts into one easy to manage payment, or loan financing; replacing your existing loan with another loan -are two of the options that could suit your situation.

Watch the market: If you are only at the first stage of buying, selling or renting and are just thinking about making a change, make sure to watch the property market. Although sometimes the market does not change rapidly, it is a good idea to continue to check the market in your city and in particular watch the prices around the areas you are looking to buy or rent.

Seek financial advice: Financial advisors are on your side in the process, and can assist you with all of the above tips. They can offer financial options if you think you might not be able to come up with the money for that dream home, can assist with budgeting plans and sorting out repayments, and most of all can set you on your way to being debt free before you have even signed the lease. Financial advisors work solely with you and/or your partner, and each solution they offer will be tailored to your particular situation, no matter what it may be.

So don’t give up on buying that dream house, moving out of home, or even selling your existing property because of financial concerns. Seek help now and let the qualified, experienced and friendly team at Australian Financial Solutions help you to get on your way to being fully informed. So why not contact Australian Financial Solutions today to find the perfect financial plan for your personal needs. Contact us on 1300 237 669 for debt advice and assistance.

The income threshold at which HECS debt owners must make payments changes each year. For the 2010-11 financial year, any individual with a HECS/HELP debt who earns over $44,912 must pay 4% of their income to their HECS debt. The percentage of payment required increases with the individual’s annual income, with up to 8% of your income going to your HECS debt for those who earn over $83,408. Fortunately, unlike general loans, there are no interest or loan fees attached to HELP debts.

Whether or not you are paying off your HECS/HELP debt at the moment or it is a little while away yet, it is a good idea to be prepared and think about your future financial position. Here are a few handy tips:

• Voluntary payments: We know, it doesn’t sound all that appealing! But if you are currently paying off your debt and think you could spare a few extra dollars a month, it is a great idea to be debt free early and not have to worry about it later on. Plus, by making voluntary payments you can receive discounts of up to 10% on your loan if you pay off more than $500.

• The B Word: Budget. Budgeting is always a good idea, no matter what situation you are in. Keeping tabs on where you are spending money and where you don’t need to be is important. We suggest utilizing as many online tools as you can; for example budget planners or debt calculators.

• Look after other debts first: Debt management is one of our top tips. Consolidating your credit card payments, mortgage payments, and car payments before you even think about your HECS/HELP debt. Although payments are compulsory over a certain income bracket, your HECS debt does not acquire interest, unlike your other debts. If you are in the bracket for compulsory payments but believe that you are unable to make the payments, debt arrangements can be made to postpone payments for up to two years.

Keep these tips in mind when you start thinking about paying off your HECS/HELP debt. If you need some more information or extra financial advice, why not contact a financial advisor? The team at Australian Financial Solutions can assist you to consolidate your current debts and to manage them appropriately, and to find the perfect money-saving plan for your individual needs. Contact us today on 1300 237 669 for debt advice and assistance.

The following are some important tips and recommendations on saving and preparing for retirement:

Budgeting:

Ensure that you are budgeting as much as is feasible as per your income and expenses. It may sound far-fetched to be saving for retirement at 30, but in 30 or 40 years time, you will be grateful that you put away those few extra dollars a month for retirement. Make sure that you are spending what you have, and try not to spend beyond your means. Calculate your loan repayments, spending, and plan your budget.

Debt Management:

Nobody wants to receive unexpected bills or unpaid debts when they have recently retired, but unfortunately it does happen. It is best to get into a positive routine of paying bills on time and only spending what you have. Due to unforeseen circumstances or simple overspending habits this may not always be a choice, but there are many other debt help options to take advantage of in order to become debt free. Credit card bills and other important expenses can be taken care of by consolidating your debt into one easy to manage payment, and outstanding loan payments can be remedied by loan refinancing. By kicking bad spending habits in your early working years, the benefit will be huge when it does come time for retirement.

Ask yourself the important questions:

There are many questions and options to think about when retiring. At what age will you retire? Will you be living in the same city, the same house, living the same lifestyle? Will you be supporting only yourself, your spouse, or will you still have other dependants – children, pets, elderly relatives? Will you be eligible for financial assistance and debt help from the government? Will you have healthcare or travel expenses? There are so many different issues to consider when nearing retirement, and this is why it is important to be debt free or seek help to adequately manage your debt before it is too late.

Seek Financial Advice:

Good financial advice can make all the difference when planning in advance for retirement. Financial advisors can effectively calculate your current budget and spending habits, and successfully estimate the amount of money and assets you will need to retire. Advisors can also assist with debt management and debt relief, or advise you on consolidating debt.
At Australian Financial Solutions, our team is dedicated to providing you with informed and educated advice in relation to debt management, finances, and assisting you with readying yourself for retirement. Contact us today on 1300 237 669 for debt advice and assistance.

Banks conduct regular reviews on your credit card limit and interest rate, based on a number of factors of which repayment history is one. Thoroughly check the terms and conditions on your credit card to avoid bad surprises. You might notice that failing to make one payment on time (and one only) might result in a reduced credit card limit or a higher interest rate, making it harder for you to cope with debt.

Credit card issuers calculate and charge interest differently. They also penalise late repayments differently. In general, expect to pay up to $60 if you are late in making a minimum repayment. With so much focus on interest rates and fees, many cardholders, especially those who pay late, would benefit from looking at how interest is calculated and think twice before choosing their credit card. When getting a new credit card avoid those that fail to give credit for part repayments.

When it comes to managing credit cards and to make sure your credit card debt stays under control, keep in mind those 2 simple rules:

1.    If you think that you won’t be able to pay your card off in full every month, forget about ‘free days’ and try to get the lowest rate possible (aim for under 12%).

2.    Set up a reminder for your minimum monthly repayment. You might want to synchronise the repayments with your pay day.
Our goal at Australian Financial Solutions is to provide financial solutions to people in debt. If you are struggling with unmanageable debt or simply seeking for Financial Advice in Perth, contact us today to obtain a free and confidential financial assessment.

Our goal at Australian Financial Solutions is to provide financial solutions to people in debt. If you are struggling with unmanageable debt or simply seeking for Financial Advice in Perth, contact us today to obtain a free and confidential financial assessment.