Getting to grips with your utilities debts
October 10, 2014
Utility debts are a growing concern in Scotland and throughout the rest of the UK and much of Europe. A major cause of concerns in this area has been the consistent and often rapid rise of prices associated with energy supplies.
In recent years, most people in Scotland have seen their bills for electricity and gas in particular rising at a rate well above inflation. These increases have added to the pressure on domestic finances in thousands of households around the country and for many the end result has been having extra personal debts to worry about.
Changing your utility supplier
One step that anyone struggling with utility bill debts should investigate right away is the option of switching the supplier of these services. There is a good chance that there will be an energy, water or internet supply deal out there that saves you money over the course of each year. You can find out how and how much money you might save by visiting a price comparison website, some of which, like uSwitch, are designed primarily to help people find cheaper energy and broadband deals.
Whether or not you’re able to find less expensive utility supply deals, there is a likelihood that your associated bills will still account for a sizeable portion of your outgoing each month if you’re struggling with personal debts. Unfortunately, this is now unavoidable for most of us as energy prices continue to rise.
What you can do to help improve matters though is to review your finances and try to find ways of cutting down on your expenditure. This isn’t always easy but it can be well worth making sacrifices to pay off utility debts sooner rather than later.
Changing your energy supplier and budgeting more effectively might save you money in the longer term but if your utility debts are already causing financial problems then you should get in contact with your supplier to communicate your issues right away. The sooner you are able to establish a repayment plan, the easier it will be to see your utility debt problems resolved.
If you don’t get in contact with a utilities provider that you owe sizeable sums of money to, then you’ll run the risk of seeing your supplies of essential services cut off and of seeing your debts passed on to debt collectors. At this point it also becomes more difficult to negotiate with your creditors and to establish a plan for paying back the money you owe.
If you are worried that you cannot afford to pay off your utility debts then it could be that you have more serious underlying personal finance and debt management issues. Where this is the case, it is important to get advice and support in tackling these problems and finding a more sustainable way forward.
We at Scotland Debt Solutions can help you tackle your debt problems, however serious they are and whatever the primary cause of your financial concerns may be. Debts to utility companies can easily build up and come to be a major financial burden but with the right approach there are always options available to help you leave the worst of these concerns behind.
You can call Scotland Debt Solutions directly to find out more or to arrange a free and confidential consultation.
If you’re worried that the council might take action against you for non-payment of council tax, entering into a Scottish trust deed can be a beneficial step. It stops legal action by all creditors included in the arrangement, and provides a ‘safe haven’ from which to regain control of your finances. As council tax arrears […]
A debt payment programme (DPP) remains on your credit file for six years, along with other default markers and court judgments that have been made against you. This can seriously affect your ability to borrow for this period of time, and longer. Even if you can secure borrowing, lenders are only likely to offer unfavourable […]
If you owe a debt of £5,000 or less, your creditor may send you a Simple Procedure Notice of Claim. This is a relatively new procedure that was brought in by the Scottish government and commenced on 28th November 2016 – their intention being to make it easier to resolve debt disputes. So if you’ve […]
A Bankruptcy Restriction Order may be made against you if it’s believed that you acted dishonestly, recklessly or unlawfully before you were made bankrupt, or during your bankruptcy. Your Trustee will inform the Accountant in Bankruptcy (AiB), and if their suspicions are upheld, a BRO of 2-15 years can be made depending on the seriousness […]
Debt payment programmes (DPPs) are an intrinsic part of the Debt Arrangement Scheme, which allows you to pay off unsecured debt at an affordable rate. If a debt payment programme is rejected by one or more creditors, the DAS Administrator can apply their discretion on whether to approve the plan, after using a test to […]
If you’re struggling to pay your unsecured debts, a debt payment programme could help you to regain control of the situation, and become financially stable again. Debt payment programmes are a fundamental part of the Debt Arrangement Scheme (DAS) in Scotland, and allow you to repay over a longer period of time. These programmes involve […]