Sophia had not been great at budgeting her finances in the past, but as she lived with her parents she was cushioned from the impact it was having.
Sophia recently moved out of her parents’ home to rent her own flat. Within a few months she received a large water bill that she hadn’t budgeted for. Sophia took out a credit card, and used it to pay for the water bill.
Sophia continued to use her credit card more and more instead of her debit card. She also took out further short term loans and her debts quickly grew.
Sophia was unable to manage her finances, and was struggling to pay her rent, let alone her other bills.
Eventually she confided in her parents about her financial situation. Sophia’s parents were unable to help her financially, but they advised her to call her creditors.
How we helped
- Sophia was feeling overwhelmed by the situation, we listened to Sophia and we didn’t judge her or make any demands of payment.
- We worked with Sophia to understand her financial situation in detail.
- We agreed a payment plan to pay off her Capquest debt. We ensured the monthly payments were affordable and sustainable.
- We ensured Sophia was also aware of third party companies that could also help for free.
- We gave Sophia all the details she needed to contact us in the future. We also made her aware of the online portal that she can access and use whenever she wants if she doesn’t feel like speaking to someone.
- Sophia had been struggling to come to terms with her debts as she was trying to establish her independence, we helped her realise that we are here to help.
Other ways you can get help
- StepChange is a debt charity, helping almost 600,000 people a year to resolve their debt problems. They are the UK’s largest provider of free independent advice and solutions.
- Money Advice Service offers free impartial advice, and is set up by the government. They can provide advice and guides to help improve your finances. They have tools and calculators to help keep track and plan ahead. They provide support in person, over the phone or online.