What to do when in debt?

Someone not involved in your situation can help you get your financial affairs back on track and look for solutions. There are several ways to do this.

• Budget counselling
  You manage your budget yourself, but you are assisted by a social worker.
• Budget management
  A social worker will work with you to take stock of your debts and draw up a budget plan. The difference with budget counselling is that the social worker receives your income and makes the payments of your fixed costs and debts on your behalf. You get living money to buy food or to pay for other necessary purchases.
• Debt mediation
  If you go into debt mediation, a debt mediator will try to reach a settlement with your creditors. Together with the debt mediator, you will draw up a repayment plan to repay the debts. However, the creditor must agree to the repayment plan.
• Collective debt settlement
  A collective debt settlement is a legal procedure for structural debt problems. The aim is for you to be able to pay off your debts and still live with dignity.

A lawyer will help you prepare a petition to initiate collective debt settlement proceedings before the labour court. This is because they know the procedure and the court.

Usually, the court also appoints a lawyer as debt mediator. Sometimes this is a PCSW representative. This debt mediator will further guide you in paying off your debts according to a repayment plan.

Is it getting too much for you and do you not see it all clearly with the many papers or do you not understand them all? Then you can always go to your local legal advice for free.
Also know that in certain cases you can get a (completely) free lawyer or are entitled to assistance. This is certainly interesting to check out.