SINGAPORE: A 25-year-old man has taken to social media to share the distressing reality of his financial situation.

This debt is primarily due to his decision to prioritize his mother’s medical bills over paying off his credit card loans, leading to overwhelming stress.

With a modest monthly income of $3,400 and no savings, he expressed his uncertainty about how to navigate this financial crisis.

"The credit card company and banks are sending lawyer letters to my home demanding immediate payment," he stated in a Reddit post on r/askSingapore.

"I can’t apply for a Debt Consolidation Plan (DCP) because my outstanding balance is not above 12 months."

Poor Credit Score and Lack of Options

His situation has been exacerbated by a poor credit score, making it virtually impossible for him to secure additional loans from banks or financial institutions.

Seeking Guidance from the Community

Desperate for guidance, he sought help from the Reddit community, sharing, “I do not wish to engage with ah longs or places like Lending Bee as they charge exorbitant rates. What other options do I have?”

Practical Advice from Redditors

In response, many Redditors offered practical advice.

One user suggested keeping monthly expenses below $1,000 while assuring creditors of a commitment to pay at least $2,000 monthly.

Others emphasized reaching out to a medical social worker to explore options for his mother’s medical bills through programs like Medifund, designed to support low-income patients.

Another user recommended he negotiate a repayment plan with his creditors and even consider borrowing from family members to swiftly pay off his credit card debts.

Seeking Professional Help

For those in similar situations, seeking professional help can offer a pathway to financial recovery.

Credit Counselling Singapore, an independent and non-profit service agency, assists individuals struggling with excessive debts.

They provide guidance through their Debt Repayment Scheme (DRS) for those meeting specific criteria, such as not exceeding $150,000 in liabilities, having a steady job, and being free of bankruptcy issues.

Conclusion

In times of financial uncertainty, it’s crucial to remember that reaching out for help is not a sign of weakness but a step towards reclaiming control over one’s finances.

If you or someone you know is in a similar predicament, consider contacting Credit Counselling Singapore at [email protected] or via phone at 6225 5227.

They are available weekdays from 9 AM to 6 PM, offering support to those in need.