Start paying off my debts: discover the best strategy

There are many Mexicans who are currently in a somewhat complex economic situation, mainly caused by debts. If this is your case, and your concern is summed up with just one question, how can I start paying my debts? Pay attention to the financial information we bring today for you, where we will give you the best recommendations, such as asking for a home equity loan.


How to start paying my debts

How to start paying my debts

People often panic when they face a large amount of debt. There are so many people who live this situation in Mexico, that they mistakenly think of devising a plan only when they are already over-indebted.

The main advice that we are going to give you, is that you do not allow much time to find a solution. And that within that strategy consider the following:


Become aware of your debts

Become aware of your debts

The first and not least, is to accept that you have debts and that you must get out of these at any rate. Remember that if you are not punctual with the payments, you could appear in the Credit Bureau, and if you wanted to ask for a mortgage loan, it would be rejected.


Calculate your debt

Not only do you have to know that you are in debt, but also have the knowledge of how much you owe. In this sense it will be very helpful to detail the amount of money you owe, so you can answer your question more easily, where to start paying my debts?


Determine your fixed expenses

Determine your fixed expenses

This step will help you a lot to start paying off the debt. By having your expenses clear, you can place those that are a priority, and those that are not so important, allocate them to the payment of your debt.


Apply for a home equity loan to start paying my debts

An excellent option, which is being used a lot in recent times, is to pay off debts thanks to obtaining a home equity loan. In which you can receive a percentage of money for the value of your home. In addition, this credit has a lower rate than most credits.

This modality is usually used to pay off all debts, finally remaining with only one of lower cost.

As you can see, the most important thing is that you be orderly and determined, the specialists also recommend making a refinance.

5 reasons why you should use a credit comparison service

On the Internet you can find many types of comparison websites – prices, home appliances, telephones, computers, as well as financial comparison websites. Among the latter are also applications and tools that allow you to compare loan offers with each other. Is it worth reaching for such credit comparison websites? We present 5 arguments in favor of such a solution.


Thanks to the credit comparison, you can choose the best loan in a given time, with the lowest total costs, educate yourself in the credit sphere and save time that you would have to spend on self-gathering loan offers. 


What is a credit comparison?

What is a credit comparison?


Before we move on to specifying the reasons why the use of a credit comparison tool is completely justified and useful for potential borrowers, it is worth considering what this comparison service is.


This is a special service – a tool that allows you to compare in one place credit offers from various lending institutions – banks and cooperative savings and credit unions. You can compare different loans, including:

  • cash loans
  • consolidation loans
  • car loans
  • mortgages
  • company loans 

The customer only needs to specify in the comparison engine their future loan requirements, including its amount and loan period, so that the comparison algorithm can present the desired list of current bank offers.


Why is it worth reaching for a loan comparison engine?

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Saving time


It  takes a lot of time to collect several loan offers from different banks and then combine their parameters with one another. The client has to trace the bank offers on the internet, send inquiries about the desired loan or visit banks in person and have conversations with specific advisers on specific offers.


Wider selection of offers

Wider selection of offers


Bankers agree that the selection of the optimal loan should not be limited to comparing 2-3 offers with each other. In this way, we may miss an offer that will definitely be the most advantageous for us in financial terms. That is why a credit comparison tool, which can compare 8-10 proposals in one place and more, is a very useful tool for the borrower.


Extending knowledge


Credit comparison usually not only presents dry data on loan offers, but also explains the complexities of the offer and terminology used in banks. Thanks to this, the client can expand his financial knowledge.


Checking various loan parameters

Checking various loan parameters


The bank’s interest rates are usually strongly marked. This is a nominal interest rate which deviates from the Annual Real Interest Rate (APRC). It is worth considering a number of parameters when considering loan offers, and these can be seen and compared with each other in the credit comparator.


Saving money


The customer can see at a glance which loan and in which bank is the most advantageous for him. He can check his interest rate, APRC level, the amount of potential installment to pay and the overall cost of financing. Then you only have to choose the best loan.