Steps to Freedom: Debt Relief

Showing posts with label Debt Relief. Show all posts

Tuesday, July 21, 2009

3 Big Myths About Debt Relief Solutions

We know the pressure can be overwhelming many times when you are facing an enormous debt load and don't know what to do about it. There are solutions that provide debt relief, but you have to evaluate options carefully because everyone's circumstances are different. It's important to avoid bad information, so here we present three common myths about debt relief solutions.

Myth number one: You absolutely must pay every penny of your debt: We're not advocating that you abandon your responsibility just because you don't feel like paying your credit card bills or other financial obligations. Likewise, you would never encourage people to enter into an agreement when you know you will never be able to pay off the debt. This is irresponsible and borders on fraud.

However, many honest folks work hard to pay off their bills but end up taking on a little more than they can handle. In these situations, the consumer may simply not be able to meet his obligations fully. If credit card companies know your situation, they may arrange a settlement wherein you pay only a fraction of the original amount. This may not be good for your credit, but if your financial situation is bad enough your credit is not foremost on your mind.
Myth number two: If you damage your credit, you'll never be able to fix it: Bad credit does have some long-term ramifications, and you may have trouble qualifying for loans if you haven't been paying your bills. If you're looking for a car loan, mortgage, or any other kind of credit, you may be forced to pay higher interest rates or even be denied completely because of your poor credit history.

However, you can repair your credit over time, even though this requires some patience and discipline. If you have a poor credit score, this probably means that you have not been able to pay your bills because you are charging too much to begin with. Look at this as a learning experience and develop a better budget for the future.
Myth number three: Bankruptcy should only be the very last resort.: Bankruptcy should never be taken lightly, because it will affect your ability to get credit for some years to come. However, saying that bankruptcy should only be a last resort is not a good idea. What if you find yourself facing tens of thousands of dollars of credit card bills that you simply cannot pay? Should you use a home equity loan or withdraw your retirement funds to pay down this debt?

Absolutely not! These funds would be protected if you declared bankruptcy, while your credit card debt would be wiped out. Never put your most valuable possessions on the line to pay off unsecured debt.

Don't let the fear of your debt take over your life. To learn more about how to deal with debt and debt relief solutions, visit us at http://findingdebtsolutions.com.

Article Source: http://EzineArticles.com/?expert=Jason_Rodriguez
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Monday, July 20, 2009

How to Avoid Bankruptcy and Get Out of Debt

By J. Star

Are you carrying over $10,000 in credit card, medical, student loan, business and/or other unsecured debt? Does it seem like bankruptcy is the only option? Many people do not realize the options they have to avoid bankruptcy. After researching all your options and consulting with your financial and legal advisors you may determine that bankruptcy is the best option for you. But it is important to research your alternatives first.

Here is a quick breakdown of what they are:

The Debt Snowball. This option is only available to those who still can afford to pay there current debt but want to get debt free faster. It is a simple account method where you stack your debts according to lowest to highest balance or highest to lowest interest rate. You then put all extra money above the minimum payments towards the debt at the top of the last. As you pay off debts you put the money that you were spending on the previous debt(s) toward the debt next in line. Using this method you will pay off your debts much faster and will save thousands in interest.
Debt Consolidation. In debt consolidation, you take out a larger loan to payoff a group of smaller loans. In order for this to be effective the loan used to payoff your other debt must have a lower interest rate than the average of all interest rates across your other debt. With a lower interest rate your payment will go down and thus giving you some financial breathing room.
Debt Management Plan. In a debt management plan you negotiate the terms of your existing debt in order to lower your interest rate and/or extend your payment period.
Debt Settlement. Settling your debt involves negotiating a flat payoff of your debt at an amount significantly less than your actual payoff. In order to be able to negotiate such a settlement you must be late on your payments to the creditor.

This is a brief overview of the options for avoiding bankruptcy. No two people are the same and no solution is right for everyone. Study the options, understand the pros and cons and then, together with your advisors, choose the path that is right for you.

Lime Financial's primary objective is to help lighten the weight of debt and credit disarray from the lives of our clients.. Learn more about our Debt Settlement Services.

Article Source: http://EzineArticles.com/?expert=J._Star

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You Can Beat Credit Card Debt by Erasing 50% of Your Debts!

By Scott Chaflin

Would you like to have the debt that you keep paying to credit card companies legally removed? A huge number of people in America are living with over $10,000 in past balances on their credit cards, and unfortunately, 95% of these people will be bankrupt in the next 2 to 3 years because the debt will keep piling up because of the interest.

It is no surprise that credit companies keep you in the dark when it comes to the options available to you to erase some of the money you owe them, but there are things you can do.

Fact: Credit cards are debt traps.
Fact: Many Americans have been kept in the dark about their options for erasing their debt.
Fact: 95% of all bankruptcies are caused by credit-card debt.

$1000.00 will take over 20 years to pay off

Did you know a simple $1000.00 charge will take over 20 years to pay off if you only pay the minimum payment? Unfortunately, this is true and CC companies do not share these facts because they do not mind forcing you into bankruptcy and stealing everything Americans own through their interest fees.

We have seen 25 year olds over $25,000 in debt, and many of these people will have to file for bankruptcy in the next 2-5 years. There is no reason to stay in debt when you do not have too as many private companies are staring to release free information that can help any consumer erase half of their debt so they can take more guilt free vacations without having to worry about another phone call or letter from their creditor again.

Every American who has a past due balance should check for free to see if they can get their debt erased so you can move on with your life and forget about paying your CC company all of your earnings.

I have found this resource to help you reduce your debt by 50%. They are a reputable and safe company to work with.There is no charge for them to help you.

The have put information together that can give you little known tips to get out of debt and tactics to get your debt erased by 50%. There is no charge, all you have to do is enter your email address.

To read this information and find out how much money you get get erased, Click Here.

Article Source: http://EzineArticles.com/?expert=Scott_Chaflin
http://EzineArticles.com/?Take-Advantage-of-the-Recession-and-Erase-50%-of-Your-Credit-Card-Debt&id=2624380

Never Pay it Back - Free Debt Relief Grant Money

Image by Getty Images via Daylife

By Sarah Beckham

Getting out of debt is a serious concern among American citizens today. Free government debt grants are the perfect solution to the current American financing problems, because they are not loans, nor are they a consolidation program. The purpose for government grant program availability is to get you out of debt, not deeper into it.

Personal debt relief grants are actually free government money that you will never have to pay back.

This is true. The government gives away over eighty seven billion dollars to qualified applicants who apply for personal debt relief grants each and every year. There is a great need for free grant money among the American population today, because nearly everyone has suffered some type of astronomical financial setbacks as of late. As a result, more and more American taxpayers are applying for, and receiving this generous financial assistance.

What can be accomplished by obtaining free debt relief grants from the United States government?

There is very little that you cannot do to repair your financial situation if you are found eligible to receive personal debt relief grant funding. Many American taxpaying citizens have recently found that by applying for this financial aid they were able to acquire enough free government money to completely turn their circumstances around in a very positive way. Many have...

Received personal debt grants to pay off past due utilities to avoid disconnections.

*Used free government money to pay past due automobile payments to escape vehicle repossession.

*Obtained thousands of dollars to pay back rent and have avoided eviction.

*Some have received tens of thousands to pay defaulted mortgages and back taxes and have saved their homes from foreclosure as a result.

*Personal debt relief grants can even be issued to pay off your past due credit card balances.

The top three best benefits of obtaining personal debt relief grants...

You can actually escape the dreaded last resort of bankruptcy.
Since you have used free government money to pay off all of your creditors, your credit rating will instantly improve...dramatically
Last but definitely not least...you will never have to pay this money back...ever.

Shouldn't you follow the links below to find out if you are on of the millions of Americans who can be approved for thousands of dollars in free government money by applying for personal debt relief grants?

Get Grants for Individuals and see how much money you qualify to receive today and never pay back.

->> Claim your Apply for Personal Grants...

Article Source: http://EzineArticles.com/?expert=Sarah_Beckham
http://EzineArticles.com/?Never-Pay-it-Back---Free-Debt-Relief-Grant-Money&id=2364575

Steps to Freedom