Advertisement

Simplifying post-holiday debt reduction

Click to play video: 'Creating a plan to decrease debt'
Creating a plan to decrease debt
WATCH ABOVE: Jasmin Calyniuk from BDO Canada with advice on how people can create a plan to lower their debt – Jan 5, 2018

Now that the holidays are over and the bills for an overindulgent Christmas season are coming in, many people are dreading the impending debt.

But is there a way to simplify whittling down that consumer debt?

BDO Canada senior vice-president Jasmin Calyniuk said it takes more than a broad New Year’s resolution to “save more money.”

“Take a look at the actual income, what are the expenses?” she said. “Get rid of, try to eliminate or reduce any of the non-discretionary, unnecessary expenses first.”

She added that by their estimates, many Canadians overspent during the holidays and concerns of overspending began midway through the Christmas season.

Story continues below advertisement

But once the income is created while cutting back on spending, what is the proper way to tackle some of the debt?

“You want to look at paying some of the higher interest and higher cost debt first, then get a plan to start working some of that down,” Calyniuk said.

Calyniuk recommends reaching out to a debt relief professional if they’re overwhelmed or their debt is too much and out of control.

Sponsored content

AdChoices