4/2/2008 - Debt Consolidation Loan for People with Bad Credit
Our
debt consolidation counselors
are standing by to help you get out of debt by working with your creditors to
lower your monthly payments and reduce or eliminate your interest and
penalties! Call Now!
How many times have you seen that commercial on television or heard it on the
radio while you were sitting in rush hour traffic on the interstate? Bad credit
is big business for an ever increasing number of companies across the United
States and while they promise you the world, you should know exactly what they
can and can not do before signing on the dotted line.
The prevailing majority of bad
credit debt consolidation companies are profit making organizations and as
such they are “in it for the money”. Here’s a quick rundown of how they
operate:
1. The debt consolidation counselor evaluates your existing financial situation
including your credit history, existing debt and even your income.
2. When you enter into an agreement with the company, they will begin speaking
with your creditors directly on your behalf, explaining who they are and
working with them to lower your interest rates and stop penalties for past due
balances and late payments.
3. You will send a monthly payment to your debt consolidation company who in
turn will pay each of the creditors. NOTE: You will still receive your monthly
credit card statements, and you should always check them carefully to ensure
that your debt consolidators are paying them the right amount and that no
additional fees are being accrued.
How does the bad credit debt
consolidation agency get paid? In most cases a percentage of your monthly
payment is taken off the top as the agency’s fee. This fee will vary depending
on the company you work with, but it can be as much as ten percent (10%) or
more.
Do I Have A Choice?
It is easy to feel helpless and defeated when the bills start to pile up and
you just can’t see the light at the end of the proverbial financial tunnel.
Even if your situation makes you feel as though using a debt consolidation
agency is your only option, let me assure you that you do have a choice, no
matter what a salesperson may tell you to the contrary.
There are non profit credit counseling
agencies whose sole purpose is to help people who are having money issues. In
some ways they work much the same as a for profit debt consolidation company
but with a few major differences. A nonprofit counseling agency will evaluate
your overall financial picture and offer suggestions for ways to improve the
situation. They will help you to understand how you got in to the position you
are in and then assist you with creating a budget that you can live with. In
some cases they might suggest ways for you to reduce your monthly expenses. For
example, my credit counselor years ago suggested that I purchase a $12 coffee
maker instead of spending two or three dollars a day on coffee during the
course of a day. She showed me how at that rate I would pay for the coffee
maker in the first week, and have an extra $45 at the end of the month. At
times they may refer you to resources in your community that may be able to
help.
The final decision is yours to make, but be sure to avail yourself of all of
the information before you choose. Apply now for bad credit debt
consolidation loan!
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Our debt consolidation counselors are standing by to help you get out of debt by working with your creditors to lower your monthly payments and reduce or eliminate your interest and penalties!
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