Is a loan the best way to fix your finances?
CCJ loans are designed for people who've been taken to court in the past over unpaid debts, and they're a good way to get rid of crippling credit card debt or store card debts. However, if you can't control your spending then a CCJ loan is only a temporary solution.
CCJ loans are designed for anyone who has been in big financial trouble in the past, and they're particularly good if you've got stacks of store cards, hire purchase agreements or other expensive forms of borrowing. Consolidating your debts into a single monthly payment can reduce the pressure on your pay packet, and the lower interest rates mean that you'll pay less than if you let your existing debts run their course.
The big danger with CCJ loans is that you need to make big changes to your lifestyle or you'll just end up in trouble all over again. Getting rid of credit cards or store cards is a very good idea, but if you don't physically cut up the cards then it's all too easy to start spending again. If that happens you'll end up in even more trouble than you're in now, because in addition to your credit card or store card debts you'll have a big loan to pay off too. If you slash your spending then CCJ loans can be lifesavers; if you don't, they're a recipe for disaster.
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