Excite

Advice for businesses considering a commercial debt recovery plan

There are a number of organisations, such as government agencies, charities and legal companies that can offer guidance for businesses that are in debt. Before seeking assistance, it is important for business owners to calculate their total level of debt and the amount that they can realistically afford to pay back in monthly instalments.

They should research the market to find a commercial debt recovery plan that offers an affordable interest rate and a monthly repayment plan that is affordable. It is important to avoid taking loans with any unlicensed companies, such as loan shark organisations, which often charge very high interest rates. It may be better to choose a company that provides a free advice consultation that does not oblige customers to sign a contract.

Advice from an independent advisor will also help businesses to determine which loans are most suitable for their financial circumstances. Many banks offer free help and advice to customers, however, as financial institutions they have an incentive to protect their own interests. Banks will usually quiz business owners on their finances and the extent to which they have borrowed in the past. After this, they may negotiate a recovery plan that could involve lower interest rates than most commercial organisations.

For individuals that require further advice on consumer credit, a debt counsellor may be able to provide assistance. The best debt counselling services are usually run by charities because their duty is primarily to help individuals. Since they do not run for profit, the advice they offer will be impartial and will more likely reflect the interests of each individual.

United Kingdom - Excite Network Copyright ©1995 - 2020