The Debt Consolidation Process

You know the feeling - every time your phone rings, a sinking, cold chill shudders down your spine. Mail is nothing to look forward to, and shopping used to be adventurous and good fun. No more. Buried under what feels like a veritable mountain of debt, behind on payments and getting further delinquent with each passing day, the future looks humorless and bleak. Is getting a second job - if you could find one - the only answer? Or is the stigma and the long-lived repercussions of filing bankruptcy the only way out?

Free Quote Form First Name: Last Name: Phone No.: -- Email : Debt Amnt: Select Range $0 - $4,999 $5000 - $9,999 $10,000 - $19,999 $20,000 - $29,999 $30,000 - $39,999 $40,000 - $49,999 $50,000 - $59,999 $60,000 - $69,999 $70,000 - $79,999 $80,000 - $89,999 $90,000 - $99,999 $100,000+ State: Select State Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware Dist of Columbia Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming

The answer is truly, no. There are alternatives, and there is help. The crushing weight of credit card arrears, medical bills and personal loans may be restructured, renegotiated or otherwise settled with the collaboration of professionals who understand the debt reduction process. There are no simple solutions, but there are well trained people at reputable organizations ready to assist by crafting a sensible and achievable plan individualized to fit your financial needs. Your first step away from a debt-burdened life is to contact an expert and schedule a meeting.

The debt reduction process may be complex for your counselor but fairly straightforward for you. You will be asked to bring your most recent statements and other documentation such as collection letters and pay stubs. A thorough analysis of income and outgo will be discussed, the net of which will be the determination of a reasonable, once-monthly payment that you can comfortably make. This single monthly disbursement will be deposited into an account from which will all your creditors will be paid. You will no longer send checks to those you owe; the debt relief service manages your payments for you.

The real work now begins for your advocate. With your permission, your creditors will be contacted and persuaded to minimize your payments significantly, or to accept a buy-out of the debt for much less than what is owed. Newly negotiated, lower balances may be the outcome, or an agreement to accept reduced monthly installments. Your debt reduction process counselor will labor for your best interests, and is chartered with working to settle your outstanding credit at minimized figures as advantageous as possible to you.

It is important to note that not all creditors will comply. However, most recognize the value of receiving some portion of the outstanding debt versus the very real possibility of seeing none at all should you opt for bankruptcy. As each debt settlement arrangement is completed, your counselor will request that the creditor report your account as settled or paid-in-full to the credit reporting agencies.

There are possible consequences for using a debt reduction program. Less damaging to your long term credit health than bankruptcy, a notation on your credit report showing you enlisted a debt relief service may cause a decline in your overall credit score. Creditors may retain some rights to pursue debt, and there is a chance that there could be tax liability on the waived balances. Your debt reduction process adviser can answer some of these questions, or point you in the direction of the right sources for answers.

No more harassing phone calls, no more wolf at the door. Debt-free and on your feet again, the world can be a happy place once more. The path back to fiduciary balance may not be straight or traveled overnight, but your debt reduction process counselor may assist greatly in avoiding the potholes and smoothing the road ahead.