Effective Steps to Relieve Debt Stress Quickly and Easily

What You Can Do Right Now to Relieve Debt Stress

How can I reduce debt stress with simple action steps?

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

The key to solving debt problems is to take the simple action steps outlined in this article. It's not rocket science, it almost seems too simple. So, what's the plan?

In just 10 minutes time you can have a sense of relief and empowerment by taking the first two steps away from debt and towards wealth.

Taking positive action to address a problem is a big part of the solution. This positive action is the only way to experience the power of the secret key to wealth creation.

The key is found in step three and four. But you must do step one and two to get there!

Step one: Know your exact debt position

Write a list of all your debts, credit cards, personal loans, car loans, store cards etc.

Why is this important?

This allows you to see the facts and stops the emotional roller coaster of fears and anxiety of the unknown. We actually feel better when we see the problem.

An example of a good debt list. Simple clear and easy to see the facts.

Write the following headings across the page and fill in the details under the headings.

Bank/Lender
Bank limit
Balance
Interest rate.
Monthly payment

You will need two balances to be able to complete the steps. The other information is so that you have a clear picture on your present situation. You now have very valuable information in two of the columns.

The total outstanding balance on all loans.
Total monthly loan repayment.

Step two: Get a quote for a consolidation loan through a Mortgage Broker. (Not the bank)

Why is it important to use a Mortgage Broker?

This eliminates dealing with your problems in a hostile environment. The Bank Office.

A broker can give you the options and take the steps towards fixing the problem. This is a great confidence builder.

Tip, if you go to the bank they will sell you what they want you to have, not necessarily what's good for you. A Mortgage Broker will ascertain if you need a personal loan or a refinance of your mortgage.

The principle is the same with either your mortgage or a secured or unsecured personal loan. The Mortgage Broker will provide a complete summary of the proposed loan.

Amount to be borrowed.
Name of lender
All loan fees,
Loan interest rate.
Loan monthly payments.
Term of the loan.
Restrictions or costs on early repayment, extra monthly payments.

Step three: Do this confidence builder, gain control of the future

So few people do this next step and never get near to the key and so waste the opportunity to create real wealth.

You may not see why you should do this but in six months you will look back and see it as a major turning point in your life.

Calculate the consolidated loan surplus.

This is the difference between your old monthly loan repayments and the new monthly loan repayment, on the outstanding balance .

Lets assume that your debt consolidated surplus is $190. Now you can make a quality decision based on the facts.

Step four: Take control, tell the broker and the lender what you are going to do.

This step is vitally important and will change the way you see debt, wealth creation and your future forever.

This is the key. Insist the $190 surplus is added to the normal monthly repayment that you would have been quoted by the broker. If they resist, ensure you deposit the $190 into the loan on the same day as the loan repayment.

They may want to charge you a transaction fee for this.

A no fee mortgage or personal loan is so important . The banks want to take savings on your loan through fees, denying you the full power of the secret key.

Step five: Be part of the few who are creating wealth every month in their lives by eliminating debt

By adding your consolidated surplus to the quoted monthly fee will have an amazing impact on the time it will take to pay your original debt on the credit cards and personal loans.

Your broker will take you through the actual amounts but with the consolidated surplus added you will pay it off in half the time and if you add another $200 it will take half the time again.

The amount of time you spend with a broker will greatly motivate you to move forward in the process of wealth creation.

A good exercise to keep you focused is to say to yourself repeatedly, " every dollar I put into the loan over and above the minimum repayment is a dollar in wealth I have created".

This is the Secret Key of Wealth Creation. So take action now; contact a Mortgage Broker for help in the process.

Published: Sunday, 1st Aug 2021
Author: 150

Rate this article

0 Comments

No comments yet. Be the first to share your thoughts.

Finance Articles

Debt Management Tips for Young Adults in Australia

Managing debt early in adult life can make day-to-day money decisions easier and help build a more stable financial foundation. This guide explains practical ways to understand what you owe, create a workable budget, choose a repayment strategy, use credit carefully and know when to seek professional support. - read more

Navigating Financial Uncertainty: Tips for Managing Money Worries

Financial stress is a common issue that affects a large portion of individuals, often due to unexpected expenses, unemployment, or a high cost of living. It can lead to both mental and emotional strain, influencing one's quality of life and decision-making abilities. Credit scores, a critical measurement of financial health, are used by lenders to evaluate the risk of lending money. - read more

Denied a Loan Due to Your Credit Score? What to Do Next

Being declined for a loan because of your credit score can be frustrating, but it can also give you useful information. By reviewing the reason for the decision, checking your credit report and improving the factors lenders assess, you can be better prepared before considering another application. - read more

Loan Hunting with Confidence: How to Check Options Without Credit Damage

Embarking on the journey to secure a loan can feel like navigating a minefield with your credit score as the prize. It's no secret that your credit score is your financial fingerprint, impacting not just your loan prospects but also the terms you're offered. However, the act of loan hunting itself, if not done carefully, can take a toll on this crucial number. - read more

How to Use Loan Comparison Tools Effectively - A Guide for the Credit-Conscious

When it comes to securing a loan, the terms you agree to can have a lasting impact on your financial wellness. It's crucial to strike a balance between finding a loan that fits your needs and maintaining a healthy credit score. This delicate equilibrium is where loan comparison tools come into play, serving as navigational aids in the vast sea of credit options. - read more

Savvy Spending: Innovative Budgeting Tips for Smooth Loan Repayments

Managing personal finances judiciously becomes paramount when dealing with loans and their repayments. A potential obstacle many encounter is preserving or enhancing their credit score while simultaneously undertaking the necessary financial commitments of loan repayments. Understanding how to navigate this terrain is vital to financial health. - read more

How No-Credit-Check Loan Assessments Work in Australia

No-credit-check loans in Australia can be misunderstood. This guide explains what the term may mean, what lenders may still assess, and how to approach these loans with care. - read more

Quick and Easy Tips to Boost Your Loan Approval Odds Without Affecting Credit

Loan approval can often be a crucial milestone in achieving your financial goals. Whether you're looking to buy a home, pay for education, or consolidate debt, securing a loan can provide the financial boost you need to move forward. - read more

Are No-Credit-Check Loans Legal in Australia? Responsible Lending and Borrower Protections

No-credit-check and bad-credit loans are not automatically illegal in Australia, but regulated consumer lenders generally still need to assess whether credit is suitable and affordable. This guide explains responsible lending, borrower protections, hardship rights and warning signs to check before applying. - read more

How to Create a Budget That Keeps Your Debt in Check

A clear budget can help you understand where your money goes, plan loan and credit card repayments, and reduce the risk of taking on more debt when expenses change. This guide explains practical budgeting steps, debt repayment methods and review habits that can support better day-to-day money management. - read more

Finance News

Tax Debt Pressure Is Reshaping Small Business Borrowing

16 Sep 2026: Paige Estritori

Small business finance is again in focus as more Australian operators look for ways to manage tax debts, supplier bills and uneven cash flow. Recent finance sector commentary points to a practical shift: lenders are still willing to consider funding requests, but they are looking more closely at whether a business can realistically service new repayments while existing obligations remain under pressure. - read more

Loan Complaints Put Borrower Treatment Back Under the Microscope

09 Sep 2026: Paige Estritori

Fresh financial complaints data has kept Australia’s lending sector under pressure, with consumer credit issues remaining a major concern for households already dealing with higher everyday costs. While the figures cover a broad range of products, the message for borrowers is clear: the way a lender assesses, explains and manages a loan can matter just as much as the advertised rate. - read more

Why Cash-Flow Data Is Changing Loan Assessments

02 Sep 2026: Paige Estritori

Australian lending is continuing to shift towards faster, data-led assessment, with more providers using bank transaction history, income patterns and real-time affordability checks to understand whether a borrower can manage repayments. For people who have been knocked back by a mainstream bank, this is an important development because it can reduce the emphasis on a single credit score and place more weight on what is happening in the borrower’s finances today. - read more

Hardship Support Moves Higher on the Lending Watchlist

26 Aug 2026: Paige Estritori

Australia’s credit sector is facing renewed pressure to treat financial hardship as a core borrower protection, not a back-office process. The latest lending market focus is on how quickly and fairly credit providers respond when customers say they are struggling, especially as household budgets remain stretched by rent, utilities, groceries and existing debt commitments. - read more

Buy Now Pay Later Rules Are Changing for Australian Borrowers

19 Aug 2026: Paige Estritori

Australia's buy now pay later sector is moving into a more regulated era, with providers being brought closer to the consumer credit framework that already applies to many personal loans and credit products. For borrowers, the practical message is simple: short-term convenience is being matched with stronger scrutiny around affordability, hardship support and responsible lending. Find out now if you qualify and compare rates, offers and options from multiple lenders - without a credit check! - read more

Why Personal Loan Pricing Is Still Uneven for Australians

12 Aug 2026: Paige Estritori

Recent personal loan market updates suggest Australian borrowers are seeing more competition in some parts of the lending market, but the benefits are not being shared evenly. Secured borrowers with stable income and strong repayment histories may find sharper advertised rates, while people applying for unsecured loans, short term loans or specialist bad credit loans still face a more complicated pricing picture. - read more

Why loan affordability matters as rate pressure lingers

04 Aug 2026: Paige Estritori

Recent personal lending updates from Australiaâ€™s loan comparison market suggest borrowers are still facing a mixed environment. While some advertised rates have become more competitive, unsecured personal loan pricing remains uneven, especially for applicants who do not fit a mainstream bank profile. For Australians with limited credit history, casual income, self-employment or past repayment issues, the headline rate is only one part of the decision. - read more

Debt Consolidation Demand Rises as Households Juggle Repayments

28 Jul 2026: Paige Estritori

Debt consolidation is moving back into focus as Australians continue to balance higher living costs, credit card balances, buy now pay later commitments and personal loan repayments. Recent finance sector commentary suggests more borrowers are looking for ways to simplify their debts, not necessarily to borrow more, but to make existing obligations easier to manage. - read more

ASICâ€™s Private Credit Warning: What It Means for Borrowers

21 Jul 2026: Paige Estritori

Australiaâ€™s fast-growing private credit market is again under the regulatory spotlight, with ASIC warning that borrowers, investors and superannuation members may be more exposed to private lending risks than many realise. The latest concern centres on a sector that has expanded as banks have become more selective, especially in areas such as property development, construction finance and specialist business lending. - read more

HSBC Penalty Puts Scam Protection Back in the Spotlight

23 Jun 2026: Paige Estritori

HSBC Bank Australia has been ordered to pay a $35 million penalty after admitting serious failures in how it protected customers from scams. The case is significant because it moves beyond warning consumers to be alert and places stronger focus on the systems banks use to detect, prevent and respond to unauthorised transactions. - read more

Click for more Finance News

Need Help Finding a Loan?

Find out now if you qualify and compare rates, offers and options from multiple lenders - without a credit check!

All finance quotes are provided free and without obligation. We respect your privacy.

Knowledgebase

Inflation:
The rate at which the general level of prices for goods and services rises, eroding purchasing power.