Debt Consolidation Information

Debt Consolidation Primer - Four Things You Can Do to Get Out of Debt


Problem debt is rampant throughout America. In addition to mortgages and auto loans, the average household in the U.S. has nearly $10,000 in credit card debt. As the major credit card companies have recently doubled their minimum payment requirements, now is a good time to outline the various options available to most consumers who have more debt than they can handle.

  • Stop spending money on nonessential items. "Nonessential" is difficult to define, but it more or less means anything that isn't absolutely necessary to live. Phone bills, mortgages, and groceries are essential. Lattes at Starbucks, satellite television, and meals from fast food restaurants are not. By cutting out all extra spending, you can probably save several hundred dollars per month. That money can be used to reduce debt.
  • Consolidate your debt. If you have more than one credit card and your accounts aren't all at their limit, you can transfer balances from higher-interest accounts to those with lower interest accounts. Alternatively, if you own a home, you probably have accumulated some equity. You can obtain a home equity loan or line of credit and transfer some of your debt to that loan. As a bonus, the interest on home equity loans is tax deductible. Be careful, though. If you transfer your debt to a home equity loan, you can lose your home if you do not repay it.
  • Find a reputable credit counselor. This will soon be a prerequisite to filing for bankruptcy, thanks to a recently passed Federal law. Counseling agencies can negotiate with your creditors to help you establish a repayment plan that you can afford. They may be able to have interest rates reduced or have late fees waived. Most agencies charge for their services, but the reputable ones limite their fees to what you can afford to pay.
  • File for bankruptcy. This is not a decision to be taken lightly, as a bankruptcy filing will remain on your credit record for ten years. By filing for bankruptcy, you declare to the courts that you cannot repay your debts. Most consumers are currently allowed to file under Chapter 7 of the Federal code, which allows the courts to wipe out most debts. This will change this fall, as recently passed Federal legislation takes place. The new regulations will likely require a repayment schedule, and attorney, and higher filing fees. Bankruptcy can help you get a fresh start, but it's not a magic solution. It will be quite difficult to reestablish credit after a bankruptcy filing
  • Having more debt than you can handle is a serious problem, but like most problems, it is one that has available solutions. The first step is to act promptly, as unattended debts only grow larger. With time, patience and diligence, most consumers can overcome the burden of excessive debt.

    ©Copyright 2005 by Retro Marketing. Charles Essmeier is the owner of Retro Marketing, a firm devoted to informational Websites, including End-Your-Debt.com, a site devoted to establishing credit, debt consolidation and credit counseling.

      


    MORE RESOURCES:

    Debt Consolidation Site Introduces New Small Business Debt Solutions
    Empowered News (press release)
    A debt consolidation website provides an advantage to budding or old small businesses through small business debt relief solution. Adriana Spears directs you to a website where you could find help in solving your debt problems.
    Credit Counseling Site Announces Its Debt Settlement Service As One of the ...PR Web (press release)

    all 4 news articles »


    DebtConsolidation.com Helps Over 100000 Consumers Choose the Best Debt ...
    MarketWatch (press release)
    NEW YORK, NY, May 21, 2012 (MARKETWIRE via COMTEX) -- DebtConsolidation.com, the top-ranking debt consolidation company, today announced that the company, in conjunction with quality debt relief companies, has helped over 100000 consumers deal ...

    and more »


    Brenda Shanahan: Four types of debt problems
    Montreal Gazette
    Q: I was reading your article about debt solutions and it was very interesting and helpful. I am wondering if you know any good accredited debt consolidation company that was reliable and could reduce my debt and stop interest?

    and more »


    Debt Guides to Tomorrows Future
    SBWire (press release)
    San Diego, CA -- (SBWIRE) -- 05/22/2012 -- Debt consolidation is a great option for people who are struggling to manage multiple debts. People who benefit from debt consolidation are individuals who are paying back their debt at very high interest ...

    and more »


    Age UK raises debt concerns
    ClearDebt
    According to the organisation, the double-dip recession and wider economic turmoil in Britain and on the continent is driving up the number of people in need of debt consolidation advice. The charity commissioned a study by TNS, which found that the ...

    and more »


    Debtconsolidation.com Affirms Its Lead in Providing Credit Card Debt Relief ...
    PR Web (press release)
    Debtconsolidation.com, an information and referral source for debt management and credit counseling, cements its key position as a top debt management service provider after successfully helping 100000 consumers take control of their financial issues.
    Credit Card Settlement Companies Help Consumers With Bad Credit Get The ...PR Leap (press release)

    all 6 news articles »


    P323.4 billion Domestic Debt Consolidation Program Deal Managed by First Metro ...
    MarketWatch (press release)
    Manila, May 15, 2012 (ACN Newswire via COMTEX) -- The Philippine government's P323.4 billion Domestic Debt Consolidation Program won The Banker Magazine's Deal of the Year 2012 for SSA (Sovereign, Supras and Agencies) Bonds category in Asia Pacific.

    and more »


    Telegraph.co.uk

    Cutting debt, economic growth go hand in hand-Merkel
    Reuters
    | BERLIN May 24 (Reuters) - Budget consolidation and pursuing economic growth are two sides of the same coin, German Chancellor Angela Merkel said on Thursday, also reiterating her opposition to joint euro zone debt issuance.
    Euro Falls to 22-Month Low After EU Leaders Clash on Debt SalesSan Francisco Chronicle
    Eurobonds will not fix eurozone problems: Angela MerkelEconomic Times
    Merkel Pressed on Debt Sharing as Opposition Chafes at AusterityBloomberg
    The Sunday Business Post -Telegraph.co.uk -UPI.com
    all 959 news articles »


    Seven Real Tips for Getting Out of Debt and Avoiding Debt Consolidation Loans ...
    Seattle Post Intelligencer
    Many Americans continue to struggle with repaying debt and look to debt consolidation loans as the only option. Yet there are many other ways to reduce debt while maintaining credit and the little extras in life. As the numbers for consumer spending ...

    and more »


    Americans want to use credit card rewards in summer plans
    Debtmerica Relief
    While some view it as a method of taking on new loans, others see it as a debt relief alternative. It is more important than ever for inquisitive consumers to have a very strong understanding of exactly what debt consolidation entails, and the impacts ...

    and more »

    Google News

    Article List | Index | Site Map
    All logos, trademarks and articles on this site are property and copyright of their respective owner(s).
    The comments are property of their posters, all the rest is Copyright © 2006 CanadaSEEK.com - All Rights Reserved.