Debt Settlement Solutions To Pay Off Debts And Save Money
If you owe money to many different places, you are not alone. This seems to be a common problem in the US these days, but there are things that you can do about it. Here are some ways one can deal with many kinds of debts and why choosing a good debt settlement company may be the best option to consider.
When many people feel overwhelmed with bills, they seek out a bankruptcy attorney. In some cases, this can be a good idea. After all, if you qualify for a chapter 7 bankruptcy, you eliminate just about all of your financial obligations. Yet, a bankruptcy can stay on your record for ten years, and you could lose many of your possessions.
Bankruptcy can make it very difficult to establish credit. It could be a long time before you buy a new car. Also, you might have to wait several years before you qualify for a house or condo mortgage.
Alternatives To A Debt Settlement Company
If you have equity in your home, you may wish to take out a bill consolidation loan. Yet, not everyone has significant home equity to borrow against. In addition, not everyone owns their own home.
Many people are unaware that you may contact creditors and negotiate your debts with them. However, this can be difficult if you do not speak to the right people and know what to say. That is why many people with financial difficulties are turning to debt negotiation companies for professional help.
Professional negotiators have years of experience with settling all kinds of debts. They work with creditors like banks, loan companies, charge card companies, and medical institutions, and have an established working relationship. When you have a professional negotiator on your side, he or she knows exactly what to expect and will get you the best possible settlement.
A skilled negotiator can resolve your debts for much less than you actually owe. For example, a creditor may be willing to lower the amount you owe by as much as fifty percent. In addition, you can establish a repayment plan to finish paying off the balance.
You and your debt professional will discuss your financial situation at length. Together, you will come up with a plan that allows you to pay off many of your debts within a year or so. This will free you of financial obligations that are making your life miserable. Also, everything between you and your debt service is completely confidential, and is not made part of public records.