Debt Priorities
When you are being chased by many different creditors it is important that you set about trying to solve your problems before it escalates and gets even worse with knocks on the door and even a fear of leaving your house. If you are already at this stage you need to get professional help as soon as possible. Using our free debt calculator will put you in touch with pre-vetted and verified professional companies and should only take you 60 seconds.
Debt priorities are hard to explain but to use an example if you had a council tax bill and a mobile phone bill the council tax bill would take priority as if you default on the council tax you can get sent to prison and also it is the more important bill to pay in terms of what is more important a roof over your head or a mobile to speak to people.
Some examples of priority debts include:
- The mortgage – you could be homeless if you fail to pay.
- The rent – you could be evicted if you fail to pay.
- Council Tax - you could be sent to prison for non payment.
- Income Tax - you could be made bankrupt.
- Fuel bills - your gas or electricity could be cut off resulting in further stress.
- Landline phone bills - the phone could be cut off.
Some examples of secondary debts include:
- Unsecured loans
- Credit Cards
- Hire Purchase Agreements
- Store Cards
- Catalogues and other Mail Order debts
Obviously these secondary creditors can't be ignored but there's usually more flexibility to negotiate if you do get into too much debt trouble. Professional debt companies can negotiate with your creditors on your behalf and help you to set up a debt management plan if it is needed.
Our companies listed on Confused Debt are all pre-vetted and verified and it only takes 60 seconds for you to find out more with our free debt calculator.
