Help With Past-Due Bills

Past-due bills could cause a strain on your financial fitness. While it may become annoying to see that your mailbox and answering machine are filled with notices from creditors, it might be a sign for you to obtain some help. Most past-due bills that lack your attention will continue to grow. However, a prompt follow up with your creditors may present options to help resolve your arrearage.

Rising Debt

Past-due bills may increase above your minimum payment due to late fees, interest or items such as returned check fees. An account that requires a $20 minimum payment could incur late fees above $20, interest charges on past due balances that accrue above $10 per month, and up to $38 for checks that are returned by your bank for insufficient funds. Debts that spiral out of control might become difficult to manage or resolve, particularly when your balances grow faster than your monthly payments.

Communication

Proactive attempts to discuss your past-due bills may minimize your debt from collections activity, judgments or legal fees. Write a letter to each of your creditors explaining your current hardship which caused your bills to become past due. You might decide to call each of your creditors to discuss the status of your past-due bills for a faster response. Communicating with your creditors may signify your willingness to work toward clearing past-due debts.

Payment Arrangements

Your creditor may respond to your request for help with a payment plan. Some creditors might offer flexible payment arrangements that are designed to get your account back on track. A payment plan could change your current due dates on certain debts and minimize the late fees on some of your past-due bills. Asking your creditors for help is an important step toward resolving past-due bills.

Debt Counseling

A debt counselor may help you obtain relief from creditors who pursue you in attempts to collect past-due debts. If your debt has reached an unmanageable level, you might obtain help from a nonprofit agency that provides guidance for consumers. Some debt counselors will charge fees based on various service levels. You should verify that a debt counseling company is in good standing with organizations such as the Better Business Bureau prior to seeking help with your bills. A debt counselor might use her experience to negotiate a more reasonable method for repaying your past-due bills.