Mr. Tan is a young professional who holds a managerial position in a company.
Despite having a stable job, he found himself in financial distress due to personal financial challenges.
Over the past few years, Mr. Tan had developed a habit of relying on credit cards to cover his living expenses, in addition to a sizable personal loan. However, as time went on, his credit card debts gradually increased, exceeding his income range. For instance, Mr. Tan's credit card 1 had a limit of RM20,000, but he had already used RM22,000, while credit card 2 had a limit of RM30,000, but he had used RM32,000. Additionally, he also had a personal loan of RM150,000.
Faced with mounting debt pressure, Mr. Tan felt increasingly anxious and helpless. He realized that his monthly repayments were beyond his ability to manage, and he started worrying about being unable to repay his debts on time, which could potentially affect his credit history and future loan eligibility. To make matters worse, he heard that unresolved debt issues could impact his ability to secure loans for the next 10 years.
During this difficult period, Mr. Tan decided to seek help. He learned about our company and sought our professional advice.
During our initial meeting, Mr. Tan detailed his financial situation to us. We carefully analyzed his debt situation together and calculated his monthly repayment amounts as well as the total repayment amounts. Through a detailed analysis of his credit card and personal loan details, we discovered that his minimum monthly repayments far exceeded his income.
To assist Mr. Tan in resolving his debt issues, we proposed a comprehensive financial planning solution for him. Firstly, we suggested debt consolidation, combining his multiple credit card debts and personal loan into a larger consolidated loan. We calculated the total amount and monthly repayment amount for the new loan to ensure it was within his financial capacity. For example, we might consolidate his credit card debts and personal loan into a new loan of RM200,000, extend the loan term to 5 years, and reduce the monthly repayment amount to RM3,500.
Additionally, we provided Mr. Tan with financial planning advice and training. We explained how to effectively manage his finances, including budgeting, saving, and investing. We also taught him how to avoid future debt issues and provided solutions to ensure his financial stability.
With our assistance, Mr. Tan successfully overcame his debt crisis, avoiding the issue of being unable to secure loans for the next 10 years. He learned how to better manage his finances and appreciated the help and support we provided. Now, he can face the future with confidence and continue pursuing his dreams.