In order to overcome the debt trap, it is first necessary to analyze the structure and funding sources of existing loans. This was reported by channel 5 referring to economist Yulia Pitka.
According to him, it is first necessary to compile a complete list of all existing loans and borrowings showing interest rates and remaining amounts to be paid.
“All excess funds should then be used to repay the loan for which the rate is maximum. This will allow you to save on payments,” Pitka explained.
But if there are a lot of debts and the person is experiencing serious stress, the economist recommended first closing loans where the total amount is minimal.
“This will help reduce anxiety. And then settle the remaining debts calmly,” said the expert.
As a final step, Pitka recommended refinancing to bring all loans and debts together. This will not only save on payments, but also reduce the monthly burden due to a longer debt repayment period.
Before that Russians in the name Three reasons for bad credit history.
Formerly in the State Duma offered Conduct psychological tests before taking out a loan.