Debt advice offered by Newtown CAB

Newtown based Powys Citizens Advice Bureau has teamed up with MyNewtown to offer advice to readers facing debts after the Christmas period.

The first few months of the new year can be difficult financially due to the challenges of the festive period and the Citizens Advice Bueau, based at Ladywell House, Newtown, says acting proactively to solve the problem is the best way to deal with it.

"One of the first things you need to do is figure out who you owe money to and how much. It is easy for debts to get out of hand, particularly as interest and other charges may be added to the amount you owe," said a spokesperson.

"It’s really important that you prioritise your debts to make sure you are protected. Urgent debts are things like rent, energy bills and council tax. If you don’t pay these, you could face being evicted, have your gas and electricity cut off or taken to court because you didn’t pay your council tax.

"It’s worth remembering that those who shout the loudest aren’t necessarily those who should be paid first.  Less urgent debts are things like water bills and credit cards."

The spokesperson added: "The next step is to work out a budget by listing all of the money you have coming in and going out each month. That way you’ll be able to see what you have left over and how much you can pay towards your debts.

"After that, it is time to speak to the companies you owe money and ask them to agree a new repayment plan with you, remembering to stick to your list of urgent and non-urgent debts.  Make sure you only agree to repayment plans you can afford. If the payments are too high, you’ll find it harder to get out of debt."

You don’t have to pay for debt advice. Powys Citizens Advice provides free, independent and impartial advice. Contact Powys CAB on 0845 601 8421, Mondays, Thursdays and Fridays 10am to 3pm.