Rags to Riches: A Debt Help Success Story in Edmonton
I’m Pradeep Padmanabhan, your 4 Pillars Debt Specialist in Edmonton, Stony Plain, and surrounding Northern Alberta communities. I recently had the opportunity to help a local couple recover from their debt. This is their story:
John and Brenda had accumulated a lot of debt the banks had provided them huge credit facilities because the Alberta economy was booming and they were making good money. John and Brenda believed that making minimum payments would help them in debt elimination. The banks also advised them they had excellent credit and so it was no problem to continue making minimum payments, which they did for about 3 years. However, when the economy turned and John lost his high – income job for about 6 months he was forced to rely on Employment Insurance.
EI made it difficult to pay all their bills on time, and it was during this time Brenda got sick and was unable to earn her full wages. Their income had dropped but their payments remained the same. When they fell behind the banks increased the interest rate on 3 of their credit cards as well as on one of their line of credits. John found another job but at a much lower income. The stress at home increased as they were forced to cut their expenditures on groceries, children’s expenses, family visits etc. All of their money was being eaten up by debt.
Debt Help: The Power of Hope
During this difficult time John and Brenda were referred to 4 Pillars Edmonton. A previous client who was aware of John’s situation shared his 4 Pillars experience, prompting John and Brenda to call.
During our initial discussion, they were scared because they did not know what to do. They had heard stories about people losing their assets, and also creditors garnishing wages etc. When we explained their options, Brenda immediately understood what they had to do but John was still skeptical; he was thinking about the excellent credit story, which their Bank had told them was so valuable. When we pulled an Excel sheet to calculate the interest they had paid up until now John’s jaws dropped. At this point John understood why the banks were telling them about the good credit story. He had paid more than twice the total principal amount owed, as interest.
We then made another calculation based on their situation and we finally got them into a monthly payment of less than 25% of what they were paying as interest alone. The other main difference was that it was going directly to pay the new reduced principal amount. Yes, their debts were reduced to nearly 25% of the principal amount and they saved $1000’s on future interest payments as well. Moreover as an added security for both of them, the monthly amount was also insured against death, disability and even loss of employment!
12 months into the Debt Consolidation plan, backed by our strong budgeting program, and of course, John and Brenda’s determination, they had their debt eliminated. Today John and Brenda are living a happy life.
They still have access to credit cards, car loans, mortgages but they understand how to effectively use credit and instead of large credit card balances they have savings. They pay off the balances on their credit cards each month and their family relationships have strengthened. In fact, John now laughs at his initial fear, which came from not knowing what he should be doing to get out of debt.
4 Pillars Debt Consulting: There’s No Place like Home
4 Pillars Debt Consulting has been creating debt settlement plans to get Canadians out of debt since 2002. As a result, 97% of our clients have successfully completed their debt restructuring programs and are now experiencing freedom from debt. We also made sure they were able to rebuild their credit. Leaving them with a better credit score.
As your 4 Pillars Debt Specialists in Edmonton, Stony Plain, and Northern Alberta, I will address your concerns. When we sit down for our first meeting, which is free, we will talk about your debt and your goals for the future. From there I will create a debt restructuring plan designed to fit your needs. I’m the one who will create a plan to deal with your creditors to help reduce your debt by up to 80% so you can be debt free within five years! As with any good debt settlement plan, you will have options: budgeting, financial education, debt consolidation, and Consumer Proposal are just a few of the options available. Throughout the whole process my team and I will be working on your behalf, representing your interests and guiding you to your financial future.
John and Brenda’s rags to riches story was unique to them, as yours is to you. When you’re ready for your own happily ever after, call me Pradeep Padmanabhan of 4 Pillars Edmonton, Stony Plain, and Northern Alberta, (780) 665-3767.
To learn more about 4 Pillars Debt Solutions. Visit us at 4Pillars.ca. And don’t forget to sign up for our Debt Boot Camp.
