A column by Margaret H. Johnson ACE, RQIC, a thought leader in the field of credit education and debt management. She offers 100% confidential and unbiased credit counseling and debt consolidation services. If you are a woman in debt, speak with Women and Money first. We specialize in helping women with their personal and business finance.
Help & Tips
Avoid Bankruptcy
Compare Your Debt Solution Options
Do you worry that you may be on the road to bankruptcy? If your debts are becoming more than you can handle, there are several options available to help you. Bankruptcy generally should be considered a last resort, although for some, depending on the circumstances, it may be the only solution. Let's examine the different debt solutions available to turn your finances around, and help choose which one will work best for you.
Tips for Dealing with Creditors
Remember: You have all the control in your debtor negotiations.
Warning Signs of Financial Trouble
Debt limit calculations
The monthly disposable income guideline says that spending more than 20% of disposable (net) monthly income on consumer debt repayment is a sign of financial difficulty. If the family is larger than average, or the income is smaller than average, or the family wants are quite high, the 20% guideline is a sign of grave financial difficulty.
A Family Plan
It is a common challenge for people who share economic resources but do not always share the same financial goals. One partner may want to save as much money as possible to purchase a large ticket item, while the other has a strong need to pursue a hobby or other recreation. Without an endless supply of money, this couple will have difficulty in reaching both of their goals. It is likely they will experience problems in their relationship until they are able to settle their differences.
Ten Basic Rules of Money Management
1. Plan
for the future, major purchases, and irregular expenses.
2. Set financial goals
Set short, mid and long term financial goals.
3. Know your financial situation
Determine your monthly living expenses, irregular expenses and monthly debt payments.
Five Principles of Financial Planning
1. Goals must be identified before they can be achieved.
For most of us, it is usual to have more goals than money; priorities must be attached to goals to reflect their importance in our lives.
2. Evaluation and understanding of present financial resources is basic to future planning.
Assemble all records of income and expenses for the past year, as well as a list of your assets and debts.
Remember, if you are experiencing financial difficulties do not wait. Speak to a professional today!
Margaret H. Johnson ACE. RQIC is a president of Solutions Credit Counselling Service Inc.. She can be reached by e-mail at This email address is being protected from spambots. You need JavaScript enabled to view it. or call toll-free in Canada - 1.877.588.9491.
We have created this website for public use. Every reasonable effort has been made to ensure that the information presented is current and accurate. However, users of this website should verify information before making decisions. We do not provide legal advice, and the information provided on or through this website should not be seen as such. If you have a legal problem, we encourage you to contact a Lawyer in your community for assistance.
