Have you been putting off repayments for your loans? Oftentimes, people get into debt troubles because they postpone making payments until the night before they are declared in default. Had they paid the loan sooner, they might enjoy 0% interests, or avoid penalties and extra charges. Plus their credit scores would have rated well.

If you’re a borrower who identifies yourself as a procrastinator—in terms of making repayments, here are things you need to know:

Missing payment doesn’t always mean that you have no money to repay your loan.

Sometimes, it’s just that you procrastinate to make necessary actions, such as going to the bank, or making online payments for your credit cards and other types of debts. If this normally happens to you, then it is important to stop those procrastinating thoughts and feelings before they stop you from making payments.

Some people are avoiding payments because of some psychological reasons. Some people withhold their best efforts to rebel to their spouse, family, and boss or to life in general. If you’re not good at making payments, why don’t you look into the real cause of your behavior? Are you avoiding payments because it seems difficult or time-consuming? Are you afraid that if you pay now, you wouldn’t have enough money to pay for your other needs? Or do you lack knowledge on how to allocate your financial resources to your debts, daily expenses and other necessities? So, you decided putting off the payments for now, until you figured it all out.

Withholding payment is a coping mechanism for handling anxiety involved in making difficult decisions or taking challenging actions.

Choosing which debts to pay first, especially if you have limited money involved can be overwhelming. Plus, the fact that you have to make daily decisions in life-ranging from small to big ones that entails choice-making skills. But, it may be too late for you to realize that if you’re not ready to choose and you don’t know how to make the right choice—you may have to face the destructive consequences of not paying your financial obligations.

If we have several debts and we don’t know what to do, it is still best to do something about it, instead of not doing anything hoping that the situation will change somehow.

That means—if you don’t have enough money today and you’re not confident that you can allocate the amount to your various loan obligations; you may tend to postpone payment until you get a better job or a bonus or until someone helps you out. But, that seldom happens. And even if your finances improve, you may still have a hard time paying off your debts the moment the interests accrue.

Some people dodge payment when they have very few cash available to avoid losing money and seeing how terrible their finances became.

Viewing repayment as an uncertain, threatening or even boring and frustrating experience can easily discourage anyone from making payments.

Even the most enthusiastic and organized borrowers who planned and organized debt repayment strategies, quit prematurely if they couldn’t see any anticipated benefit of paying on time.

It is advisable to look into the benefits of saving money for your repayments and making it on time—before you start any of your debt repayment strategies.

There must be a reward that you are looking forward to; otherwise, it may not be so encouraging to move forward. For example, why would you pay today when you have other expenses to meet? What difference would a few dollars in interest make, when you can still make payments next week? Although you’ll have to pay some penalty charges, you can at least enjoy your money for a little more time. But, that’s not always the case. Additional fees in terms of interests and charges are still debts. The moment you accumulate interests and additional charges, your money lessens.

Loans – an option to get ‘repayment’ money

While borrowing money is not synonymous with ‘earning’ money. It is one of the most practical solutions to deal with multitudes of debt especially, if you have several overdue credit card accounts and balance transfer is not possible. And even if you have a first mortgage or even a car loan to pay, you can take out a second mortgage to repay all you outdistancing loan obligations.

By consolidating your loans, you can enjoy one payment schedule, one interest rate and convenient payments terms and conditions, like the ones offered by NSW Mortgage Corp. But as you repay your debts, and meet your primary needs and immediate wants, don’t forget to retain a little amount for your savings. While you distribute your borrowed money to your outstanding obligations and immediate needs, you are also protecting your future needs.

Are you looking for second mortgage, home loans and other types of loans especially designed to meet your needs while taking your personal situation into consideration? Make an enquiry today and the friendly mortgage specialists of NSW Mortgage Corp will get back to you immediately.