There is no one formula to get out of debt. Consumers are encouraged to carefully decide which tips are applicable to solve their unique debt troubles.
Miami, FL (PRWEB) July 07, 2013
On June 20, Debt Consolidation USA, the leading online resource for debt relief information, published another article to help their readers find a solution for their credit problems. Entitled “Help With Debt Solutions,” the article provided specific tips that will give debt-ridden consumers an idea on how to find relief for their debt situation.
The article advises readers to take each tip separately. Debt Consolidation USA believes that there is no one formula to get out of debt. Consumers are encouraged to carefully decide which tips are applicable to solve their unique debt troubles.
Consumers are also urged not to procrastinate because it will only make things worse. With that, the article begins to enumerate debt solution tips.
1. Know the gravity of the debt situation. The article states that knowing the problem will make it a “lot easier to make informed decisions and to identify debt solutions.” The consumer is advised to list their income, expenses, savings and debts. Creating a budget will help them have a general overview of the problem.
2. Look for free debt consolidation. The next tip is to find a non-profit agency who can give professional advice and can help the consumer create a payment plan. In some cases, the article mentions that the agency can take over debt payment management and negotiations with the creditors. The article states how this will benefit the consumer because of low interest rates and a lower payment. The consumer will also have an easier single payment scheme that will be forwarded to the debt consolidation agency who will in turn send it to creditors.
3. Negotiate for a lower interest and monthly payment. The article suggests that consumers muster the courage to negotiate with their creditors themselves. This is possible and at times, can produce positive results.
4. Get credit counseling. Debt Consolidation USA advises consumers to get credit counseling to help examine their debt and financial situation. There are free and paid services and the consumer can take their pick as to what they wish to avail.
5. Borrow funds. The article mentions the possibility of borrowing funds from the consumer’s personal pension, retirement or insurance account. This will help provide immediate funds for debt payments.
6. Get cash out refinancing. This is applicable to those who have homes that can be refinanced. The article states that this usually provides the consumer with a low interest rate on their loan so as to have a lower monthly payment. Not only that, there is a longer repayment term - which lowers the contributions every month as well.
Debt Consolidation USA encourages readers to consider these options instead of opting for bankruptcy.
To read the whole article, visit Debt Consolidation USA.