In the world of debt relief, there are six options you may choose from: strategically making more than the minimum monthly payment on one or more of your credit cards, credit counseling, debt consolidation, debt settlement/negotiation, refinancing your mortgage, or filing for bankruptcy (Chapter 7 or Chapter 13). None of the options are easy, but they can be successful if you have the right attitude and the right people helping you. In this article, I want to focus on credit counseling, specifically those organizations who are accredited with the National Foundation for Credit Counseling. Continue reading
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Avoiding annual fees on credit cards
There are many way of avoiding annual fees on credit cards. Two of the easiest are to simply use the credit card or negotiate the annual fee. However, many people opt to close the account without first considering how it would effect their credit score. Although the annual fee does add to the cost of having your credit card, it may also reduce your interest rates on other loans by increasing your credit score. This is why you should carefully consider your options before contacting your credit card company. Continue reading
How to Take Advantage of Teaser Rates
If you are getting any type of loan, you are probably well aware that you will be paying back more than the principal amount. Interest rates may vary for different loans, so if you’re looking to save a bit of money, you need to shop around. One of the gimmicks lenders use to get you to purchase their loan is a teaser rate. Continue reading
How to Negotiate Debt Settlement Offers
Debt settlement companies paint a rosy picture for helping you settle your debts. They might provide some assistance, but only after you pay them a quarter of what you owe as a fee! What they don’t tell you is how to negotiate debt settlement offers directly and spare yourself thousands of dollars in fees. Continue reading
How to Lower Interest Rates through Credit Counseling
Your commitment to become debt free through credit counseling can be rewarded through lower interest rates on your credit cards. That’s because creditors want to provide an incentive and a means for you to stick with your plan so that you pay off your debt and avoid a future default. Continue reading
How Does Credit Counseling Work?
Credit counseling was created by credit card companies in 1951. The purpose of credit counseling was to provide debtors with an advocate that would facilitate their repayment to their credit card companies.
In short, creditors know that you need some help sometimes. They just don’t want to be the only one to lower your payments and reduce your interest rates. After all, why should their competitors continue to charge full price if they are willing to give you a break? Continue reading
I Am Being Sued for Credit Card Debt, Should I Hire a Lawyer?
You answer the door to a process server or Sheriff’s deputy and suddenly realize, “I am being sued for credit card debt!” Having received numerous letters and countless phone calls during the dinner hour, you knew this was a possibility but it is still a shock. You have got to protect yourself, and hiring a lawyer is one option to consider. There are other possibilities also. Continue reading
How Long Does it Take to Pay Off Credit Cards With Minimum Payments?
Minimum payments on credit cards are calculated in a number of ways. Most consist of total finance charges for the month, plus around 1% of the balance. There are situations though where you are paying very little in principal, meaning you get almost nothing in return for your payment. Continue reading
Scammers Pretend to Be Debt Collectors
The caller claims you owe on a debt. They know your social security number and one of your account numbers. Would you believe this could be a scam?
According to Indiana Attorney General Greg Zoeller, your next debt collection call could possibly be a scam. He is warning consumers to be mindful of what information they provide over the telephone, no matter how genuine the caller appears to be. Continue reading
The Risks and Rewards of Consumer Debt Settlement
Consumer debt settlement occurs when debtors who are at least three to six months behind on their credit card payments pay credit card companies a lump sum of money in exchange for an 25% to 80% decrease in their outstanding debts. Sound like a dream? Not exactly. Debt negotiation programs carry a wide array of risks that debt settlement companies rarely inform you of. Continue reading
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