Managing your debt is key to paying it off and reaching your financial goals. See our tips to manage debt.
When properly managed, debt can be a useful financial tool to help you achieve your goals. But when debt becomes an ongoing concern or possibly causes you stress, that may be a sign that you could use some financial advice.
Having a debt management plan is always a good idea, regardless of the size of your debt. Part of that plan may include debt consolidation, which may be the solution you’re looking for. A TD advisor can help you make a plan.
Debt consolidation is a way to pay off multiple outstanding balances by combining them into a lower interest credit product. One benefit of consolidating debt is that it makes paying off your debt easier, by having to make one payment rather than multiple payments.
Try our debt consolidation calculator to see what your regular payment could be.
It may sound like an obvious question, but have you taken the time to add up all your outstanding balances for your debt management plan? In some cases, you may be relieved to know it’s not as bad as you thought. In other cases, we’ve seen that it’s better to know what you’re dealing with. That’s the first step to debt management.
If you're not going to consolidate then consider paying off higher-interest debt first. For example, a credit card may have a higher interest rate than a car loan. But what if, as in the example above, you make your monthly car loan payment (you need a car) and only make the minimum payment on your credit card? You would be paying higher interest. One of the benefits of consolidating debt is that you may be able to pay an overall lower interest rate and still make your payment.
What do you do when you come into a little extra money? Use it to pay down your debt now or invest it for the future? Comparing the rate of return on your debt versus the return on any potential investments can help you decide. Enter your information in this interactive video to help determine the best strategy for you.
Consolidating higher-interest credit card balances into one lower-interest credit card balance is an option you might want to consider. A TD advisor can help you choose a card that’s right for you.
Learn more about TD Credit Cards.
If you’re feeling overwhelmed by debt, or just want some friendly advice, ask to speak with a TD advisor about debt management and debt consolidation. They’re qualified to help you plan and explain your options. We’re here to help you feel more financially confident.
Book an appointment with a TD advisor.