Debt Settlement is Your Best Option
Millions of families are facing financial struggles and have come to a fork in the road where they are forced to choose a path, which will enable them to be rid of their debt once and for all. If you can relate, take comfort in knowing that you do have choices, and depending on your personal financial situation you may have decided that debt settlement is the right path for you, since this option can reduce your debt by 50% or more.
If you’ve made your decision and are confident that debt settlement is your best option, now is the time to get to work. You see, debt settlement can be somewhat complex to say the least, and it’s important to be well-informed when deciding if you should attempt negotiating with your creditors on your own, or if you prefer to hire a professional to represent you.
If you need debt settlement, you will probably be interested in receiving a free quote from a National Debt Relief. It does not require much time to apply for a quote, and no sensitive information is needed.
The BBB-accredited agency from which you obtain your estimate will request your name, contact number and email address. You can be confident National Debt Relief will keep this data secure and utilize it only for acceptable purposes. National Debt Relief work with some authorized protocols as Trust-e for electronic info protection, sticking to firm guidelines of privacy.
Click Here to Get a Free Quote from National Debt Relief
Below are a few things you may want to consider if you’re seriously contemplating the “do-it-yourself” method:
• You must not be easily intimidated – In order to qualify for settlements with your credit card companies, your accounts must be in a delinquent status. Obviously, if your accounts are delinquent, you can expect some form of communication from your creditors and/or collection agencies. Unfortunately, the communication you receive will undoubtedly contain threatening content, either in the form of phone calls or letters. I know it’s very difficult, but you need to be prepared for this type of dialogue, and you must not cave in to threats. Of course, this will be somewhat complicated because you won’t always be sure if the threats you’re receiving are legitimate, or simply an attempt to intimidate and scare you, but most often it is the latter.
• Caller ID is a must – Don’t kid yourself because your phone will be ringing off the hook due to creditor and collection agency calls. If you took the time to answer each call and attempt to speak with these bill collectors your day would be gone – wasted. So, if you don’t already have Caller ID, get it. If the display screen on your Caller ID reads “toll-free number,” “out of area,” “unknown caller” or “incoming call” you can be sure that you’re the lucky recipient of communication from a bill collector. In most cases it’s best to let these calls go straight to voicemail. The only instance you’ll want to speak with bill collectors is when your delinquency is at a stage which is optimal for a satisfactory settlement agreement.
If you believe you’d rather hire a professional debt settlement firm to assist you during this very tedious and complicated process, please be cognizant of the existence of some firms that are more interested in taking your money than in legitimately assisting you to become free from debt. Some signs you’ll want to be weary of include the following:
• Pre-payment of fees – While I understand why most debt settlement companies require that their fees are paid up front, I don’t necessarily agree with this tactic. You see, prior to the finalization of a settlement with your creditor, much work and preparation has been already taking place behind the scenes, and companies want to ensure that they’ll be properly compensated for their time and expenses. That being said, I also believe that debt consolidation firms should want to ensure that your creditors are paid as quickly as possible so that you – their client – can begin to feel a sense of relief sooner rather than later. This can rarely be achieved if all of your money is first going to the company that claims to have your best interest in mind. It may take many mouse-clicks and more than a few minutes of surfing the Internet, but you can locate a firm that won’t accept payment from you until a mutually agreeable settlement has been reached with your creditor(s).
• Unrealistic fees – Certainly the cheapest debt settlement company isn’t necessarily the best debt settlement company, but you can locate honest, ethical and reputable firms whose fees are reasonable, and won’t make the process of debt settlement too costly to consider. Fee structures vary from one debt settlement company to another; many firms charge their clients 15% of the total amount of debt to be settled, while others base their fees on the amount of money their clients actually save at the time of settlement. I’ve seen these fees range anywhere from 15%-25% of the amount of money saved.
•High pressure sales tactics – If you feel as though a firm’s employee is communicating more like a salesman than a debt consultation professional, run – don’t walk – as fast as you can. This is a difficult time for you and the last thing you need is a high-pressure salesperson taking advantage of your potentially vulnerable state just to “close the deal.” Rather, you’ll want to be certain that you’re dealing with an individual who is genuinely interested in your financial hardship, as well as taking the proper steps to help you achieve your goal by eliminating your money concerns.
Congratulations for having the resolve to become free from debt. It’s not easy to face financial burdens, and you deserve to be commended for taking the time to proactively research and execute a plan.
How to Become Free From Debt
Most people will have debt during their lifetimes. There are the few that will only have a mortgage debt and that is it. Good for them. But most people will face some sort of financial issue that revolves around debt and credit cards.
No one ever takes out a loan or uses a credit card with the intent to become overwhelmed by debt. But that is the nature of debt. It innocently builds while you enjoy the perks.
So many people are living a future lifestyle on today’s income. They are thinking about that bonus at work or that raise that is expected. So they charge a few things thinking that they will pay them off later. No problem.
Today it doesn’t seem so bad. You get to go ahead and have what you want now.
But eventually you will have to pay for it.
Newlyweds and college graduates fall into this trap all the time. People stretch to buy new homes, not realizing the true cost over time. When life changes, they find that they are unable to meet their previous obligation for their money. They lose their homes.
Others simply never look at how the numbers are adding up until it is too late. Have you ever looked at your financial worth statement? This is a list of what you own compared to what you owe -- your assets and liabilities. Start with listing your assets. These are your home, your cars, your personal belongings with high value, such as collections, equipment or livestock. Then list your debts. These include your mortgage, your auto loans, your student loans, your credit cards and all other debts you have.
Add the two columns up. You should have more in assets than you do in liabilities. If you don’t, you are walking a financial tightrope. What would happen if your financial situation changed? If you became ill or lost your job, you could risk losing your home. You could be forced to sell your vehicles for less than you owe and defaulting on the balances. You could be financially ruined.
Part of being an adult is understanding how credit really works. You have to know how it sneaks up on you. Even people that know are often surprised with life’s turns and how it affects their debt. You have to consider your overall debt picture, and not just your currently monthly budget when making credit decisions.
Make it an ongoing goal to pay off your debts. Not just your credit cards, although you should start there, but your autos and your home. Imagine how much money you would have each month if you had none of those debt payments. Keep that in mind. The freedom you would have. You could work at something you like, not just something that brings in the money. You could save more and be able to retire earlier.
Debt is a tricky thing. Everyone will face it in this day and age. But the difference is that some people will learn from their experience with it, and some will not. Which will you be?