Saturday, November 15, 2008

Debt Relief

As you all know times are tough. The economy is in a downward spiral, and everyone is going to have to start looking for ways to cut costs and tighten up their budget. The people who are going to be especially affected by this are those who are already heavily in debt. As inflation rises faster than wages, these people will find it increasingly difficult to make their minimum monthly payments. There are several methods for these people to find Debt Relief. One option is credit counseling. Credit counseling organizations act as intercessors between you and those who you are in debt to. They usually try to get you a lower interest rate and eliminate the fees you pay allowing you to make your payments and get out of debt in about five years. Debt consolidation is another option. This option transfers the debt you owe to several creditors to only one. Meaning you only have one monthly payment instead of several, and many times this is at a lower interest rate. This is an okay option as long as you are disciplined enough not to increase your debt to those creditors you just freed up. Bankruptcy is a way to be rid of all of your debt; however, it will stay on your record for at least seven years and potentially impact all of your future financial and employment dealings. One final option is Freedom Debt Relief's Debt Reduction Program. Under this plan FDR acts as a mediator between you and your creditors. Unlike credit counseling organizations, they attempt to actually reduce your outstanding balance. They look at your debt load and come up with an amount that you need to save up in order to make a settlement offer to the creditors, and then they negotiate the settlement. Once the settlement is accepted and paid, FDR gets the creditors to report it to the credit bureaus as paid. So if you need Debt Relief in these tough times, you have several options, but I definitely suggest you try Freedom Debt Relief's Debt Reduction Program.


Mberenis said...

Obama has announced special money for lower and middle class citizens.

Grants, Loans, and Cash Assistance for Lower and Middle Class

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