The multiple options available to
consolidate ones debts can be quite confusing, credit counseling
programs, debt settlement, debt consolidation loans, bankruptcy are just
a few options available today. Trying to find the best option to suit
your current financial situation can be a difficult task. Consolidating
all your debt into one monthly bill may seem like a great way to take
control of your debt, it can reduce your debt by 40-60% of the current
total. But you must be very careful. There is a very high chance that
you could end up in even deeper debt!. Debt consolidation can simply be
from a number of unsecured loans into another unsecured loan, but more
often it involves a secured loan against an asset that serves as
collateral, most commonly a house. In this case, a mortgage is secured
against the house. So you have to choose trusted company that offer debt
consolidation programs.
There are other alternatives to a debt consolidation loan, where unsecured debt is not "shifted" to secured debt, but is eliminated through a settlement or payment plan. Debt Settlement
is the fastest and least expensive option to get out of debt without
filing bankruptcy. Debt Settlement also known as Debt Negotiation is the
most cost-effective option to pay off your debts and relieve you of
having to file bankruptcy. Debt Settlement is a proactive approach for
debtors experiencing the stress of to much debt.
You also can consolidate your credit card with Credit Card Debt Consolidation Programs.
For years, card issuers have spent billions of marketing dollars
inundating us with “pre-approved” offers for credit cards with low
rates, mileage, bonus points and other attractive perks. Many
cardholders are overspending; others have found themselves caught in a
predicament that requires them to use their credit cards to make ends
meet.