Last Updated on January 14, 2019 by Melissa S.
Post Christmas festivities and you’re struggling financially. It’s not an unusual thing to happen at this time of year, but when you’re in over your head and you’ve got no spare income, it can be difficult to see a silver lining or a way out of your financial problems. Luckily, it doesn’t mean that you’ve got to continue struggling, as there are many ways in which you can deal with your finances even when you’ve got no spare income. Check out these tips on how you can work your way out of this difficult time!
Keep an eye on your credit report
Your credit history is actually more important than you think. Lenders need to see that you’re reliable with their money before approving any of your applications. However, if you’ve got a little or poor credit history, it’s unlikely that you’re going to be approved for anything. So, here are some ways to improve your credit score for free:
- Sign yourself up for the electoral roll if you haven’t already. The more that lenders know about you, the higher chance you have of being accepted.
- Use Clearscore to help track your credit report and improve it too. It’s a completely free app that can and will help you improve your credit and also your financial habits.
- Speak to your providers such as gas and electricity and set up payment plans – especially for any balances you owe. If lenders can see you’re trying to improve the way you handle your finances it will go in your favour. Plus, it will make it easier to pay off anything you owe.
Look into debt consolidation
Sometimes you can find yourself in a mountain of debt that you simply can’t see a way out of, and it’s understandable that this is worrying for you, especially when you’ve got no spare income to begin trying to pay it off. Luckily, there are such things as debt consolidation loans which basically, give you the chance to pay off all of your debts and consolidate all of your payments into one place rather than multiple places. Not only that, it helps eliminate any interest that’s accruing on the money you owe to other companies. Definitely worth considering to help find a way out of the debt you’re in.
Cut out luxuries or unnecessary outgoings
Finally, one of the most important things you should be doing when you’re struggling with debt, is to find a way to free up some spare income. Now more than ever, is the best time to cut out any luxuries or unnecessary outgoings – at least for the time being! Things like a gym membership or a magazine subscription that you don’t need or use could be cut out so that you can free up some spare money. You’ll be surprised at how much you’re overspending!