Debt trap: Know how to get out of a spiralling debt
financialexpress.comIn a debt spiral, a person is so deep in debt, he needs to borrow even more to pay off their dues. But in doing so, his debt becomes bigger and tougher to repay, keeping him trapped in unending financial misery. Besides the stress, loan repayment problems remain on the credit record for years and could make it difficult to get fresh loans in a time of need.
Positive intent You should remain positive that you will find a way to pay your dues. This intent is necessary. It is your moral, legal, and financial obligation to repay your loans. Payment delays, defaults, and settlements (where your bank agrees to accept a one-time part-payment to close the loan) will all damage your credit history. This will make it difficult for you to apply for new
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