When looking at that bunch of overdue invoices, desperation comes to the fore, and for those in debt, there are several questions about how to settle the overdue bills. But is it worth paying the debts in installments?

When it comes to making unnecessary expenses, uncontrolled purchases, and other expenses that were not scheduled, unfortunately we cannot manage to pay them off.

So, let's tell you if it's worth paying off the debts in installments, and how this way of paying off late bills works.

There are several ways to pay off debts in installments. 

This is because, as a rule, those who establish the payment methods, including installment amounts, are the creditors, that is, the company to which you owe.

However, there are more flexible companies, which allow debtor customers to choose the best ways of paying their debts in installments, as they seek, above all, that the debts are settled.

That is, debtors will find various forms of installment payments and interest arising from these payments.

Unfortunately, the installments will be filled with additional amounts of interest, which will be added according to the number and amounts of installments.

It is important to mention that the more installments are established, the lower the values for each of them, however, the total amount of the debt also increases.

Now, the fewer installments are established, the greater the values for each of them, however, the total amount of the debt reduces.

There are also companies that seek to make settlements in cash, that is, they give longer deadlines to debtors, and then all amounts are settled.

For those who have the option to pay in one go, it is also a great alternative, since in these cases, the discounts are usually very high.

As we mentioned, when paying off debts, the objective of companies is to receive from debtor customers, so these customers need to use financial intelligence to make the best deals.

And, another way to pay the debts in installments is through applications such as PicPay, where customers pay the bills in installments using their credit card.

When viewing all outstanding debts that need to be settled, the question arises as to the installments that can be made.

So, first of all, you need to understand how much that amount represents today in your budget.

That's because there are people who have old and gigantic debts, and that starting to pay in installments today would bring more negative financial consequences.

Thus, the ideal would be to wait for new proposals from creditors, as they are usually very advantageous.

That is, it is necessary to consult all debts, as well as delay dates, amounts, proposals that may have already been made by creditors.

And, in addition, it is also necessary to consult the current budget, where the income is, and all the fixed expenses that are those that you cannot fail to pay as; electricity, water, rent, telephone, among others.

And also variable expenses, which are those that are not necessarily mandatory, such as taxes.

So, after following all the steps mentioned, how can I analyze the installment plan to find out if it really makes sense to add to my current budget? That's what we'll see.

At first, it was necessary for you to consult all outstanding debts, as well as your current budget.

Next, we need to understand how to analyze the forms of installments, to find out if they are really advantageous.

So, first of all, we need to know what interest will be applied to the installments.

This is because interest depends and varies according to the company, the amount of installments, and the debt amounts.

So, try to find out all the alternatives for installments, and what interest will be added to these installments.

Well, it may be that paying off debts in many installments is much more advantageous than transforming your financial planning to settle debts into something in the long term.

Another important point is about the individual budget. This is because, as much as it is an excellent proposal, your budget may not support it.

In that case, it will be more advantageous to continue with the debts in arrears, until new proposals can appear. (And they always show up).

That is, this is because we should not take on new debts to pay off old debts.

Therefore, when analyzing whether it is worth paying your debts in installments, make an analysis of all your income and expenses, in order to make the right decision.

And, one last tip is to opt for installments that commit a maximum of 30% of your current budget, so as not to have major consequences.

As we mentioned above, this will depend on each person's individual budgets, and where they are in their financial life.

This is because, if it is a time when there was an increase in revenue, then it is able to make installments to pay off debts.

However, if the income remains the same, but she wants to know if it is worth paying the debts in installments, it will be necessary to make several consultations and negotiations to find out if it really is a good alternative.

Strange as it may seem, if the installments are not interesting, it is better to choose to pay the debts in cash, as the discounts are advantageous.

However, remember that the longer the debt is active, the higher the interest on delays.

Therefore, talk to your creditors so that together you can find the best solutions for both of you.

The term active debt refers to the debt that a person has with the Public Treasury, at the Municipal, State or Federal levels.

This occurs when a person delays IPTU payments, for example, and thus becomes indebted to the Federal Government.

That is, when delays occur, taxpayers become part of the Government's list of defaulters.

Then, from the moment the name is inserted in the list, it is said that these debtors are registered in active debt.

In this case, the collections are carried out by the Federal Government, which can be carried out, initially only with notices, for example, in the delay of the IPTU, as we mentioned, the debtor can receive letters of collection at home.

If the letters are not effective, the Government may protest the debtor's name at notary offices and include this name in the register of defaulters such as SPC and SERASA, thus making it impossible to access bank loans.

And, still as a last option, the Government may initiate a judicial process called tax execution.

However, this process already occurs in more advanced situations, since it can lead to the seizure of money and assets of that debtor.

To find out if you are in debt, the process is very simple and can be done online.

Just enter the Regularize website, which is the digital portal of the Attorney General of the National Treasury (PGFN), then register on the portal.

Then, the interested party must use the chosen access password, a digital certificate or enter the e-CAC portal of the Federal Revenue, in the menu “Dívida Ativa da União”.

However, the searches will only serve for federal debts, as in cases of state debts, it is recommended to contact the State Attorney General.

In cases of municipal debts, the taxpayer must contact the region's Treasury Department.

To find out if you are already in debt, first of all, we need to understand which debts generate registration, they are:

And, the public bodies that are responsible for collections are:

And, for state debts, taxpayers will be enrolled in the state's active debt.

For municipal debts, taxpayers will be registered in the active debt of the Municipality.

It is necessary to pay attention to this, because the forms of negotiations, as well as the methods, can be different.

That is, the negotiations will be established in agreement with each of the public bodies.

Therefore, know exactly who you owe to, to know what implications it will have before that body, and also to be able to plan financially.

Deadlines for enrollment in active debt will depend on debts, origins, amounts, and confirmation of payments.

That is, several factors need to be investigated before enrolling in the active debt.

This is because, as it is a bureaucratic process, some stages need to be carried out, so that the taxpayer is transformed into a debtor of the Revenue.

Therefore, a simple delay of installments is not enough, it is also necessary:

So, don't worry, registration cannot and should not happen overnight.

Yes, the Federal Government is looking for ways to facilitate the receipt of money from taxpayers' debts, as well as help them keep up to date with the Revenue.

This is because the more debtors included in the debt, the more the public coffers will be harmed.

So, every year, the Union, states and municipalities offer installment programs for active debts for registered taxpayers.

Thus, the Government manages to settle debts, and taxpayers improve their relationship with the Revenue.

In these cases, discounts are usually high, as well as a reduction in interest and amounts, which can reach 90%.

However, deadlines for payments are short, so taxpayers are not always able to take advantage of opportunities.

And, in addition, any taxpayer who is enrolled in the active debt, may also request the installment as long as the programs are open.

We already know that making payments on time is important regardless of who the creditor is.

However, when you have an active debt with public bodies, this should be a priority.

This is because the interest rates are very high and the financial consequences could be quite disastrous, especially if it reaches the legal sphere.

That is, if the interest is already high in the administrative sphere, when it comes to the legal sphere, the consequences will be even greater.

Therefore, try to resolve all pending financial issues within your debt control, but when there are active debts in the Revenue, always give priority.

And, if you want to know more, you can also look over how negotiate debts with bank.