Are you drowning in debt? If the answer is yes, you are not alone. Millions of Americans are looking for a way to reduce their debt. Help is available, but you have to know where to look. It's important to do your homework. There are many companies out there that offer debt relief. Some of them are reputable and some are not. How can you tell the difference? Ask questions.
- Does the company offer more than one option? They should be able to assess your situation and offer the best solution for you.
- How long has the company been in business? Longevity is not a guarantee, but it often means that the company is reliable.
- Are they affiliated with the Better Business Bureau? The answer should be yes.
- How does the company get paid? The best companies earn money from a percentage of what they pay you. In other words, they only get paid if you save money.
When is it time to hire a professional? It can be to your benefit to seek professional help if...
- You have multiple creditors.
- You have a large amount of debt.
- If you have tax problems.
You have a ton of questions. Go ahead and ask.
- Will your credit be ruined if you seek credit counseling? It may suffer a little, but if you stay on track you should be able to fix it within a couple of years.
- Is Bankruptcy a better solution? Bankruptcy stays on your credit report for a long time. It can make it difficult to get credit in the future. A good debt relief program can dig you out of the whole and help you rebuild your credit over time.
How does the program work? What are the basics?
- You will stop paying your creditors.
- You will deposit a certain amount of money into a savings account each month.
- The professionals will handle all collection calls. You will not have to deal with your creditors.
- Once your savings account starts to build up negotiations will begin.
What happens during negotiations?
- You will pay 40-60% of your outstanding bills. This will vary depending on your situation.
- You will make a single monthly payment to the settlement company. They will disburse funds according to the agreement.
What are the benefits of using a debt relief program?
- Debt relief within 12-30 months.
- Lower your monthly payments up to 50%.
- Eliminate 40-70% of your total debt.
- Avoid bankruptcy.
- No creditor phone calls.
- Stops late payment fees.
- Helps rebuild your credit rating.
- 24/7 access to your account.
You can find debt relief. There is a program out there that will work for you. Now take a deep breath and pick up the phone.