Debt Negotiation Or Debt Consolidation- The Choice Is Yours
If you think a debt consolidation program is not for you or if you think that it
is far too limited for your conditions, debt negotiation is the option for you. A key advantage of this option is that the creditor stops asking the debt back. It becomes the responsibility of debt negotiator to resolve the matter. The negotiator takes a monthly payment and keeps it in its account for final payment to creditor. In the meantime, the debt negotiation company keeps on trying to lower your debt due. Sometimes they even become so successful that they can get as much as 40 to 50% of the amount waived. At the end of negotiations, the debt negotiation company makes a lump-sum payment to the creditors. The biggest problem with these debt negotiation plans is that as long as you are in a negotiation plan, your credit score remains low. You can not do much to improve your credit score during this period of time. Once your account is settled, the debt negotiation companies do make sure that your credit report reflects the debt as paid' and your attempts to improve your credit score do yield some results.
Debt Negotiation Or Debt Consolidation- The Choice Is Yours