subject: Consumer Debt Relief - Am I a Candidate For Credit Card Debt Relief Under Obama's Plan? [print this page] Consumer Debt Relief - Am I a Candidate For Credit Card Debt Relief Under Obama's Plan?
With the economy in danger of collapsing under the pressure of national debt, President Obama has had to take drastic action in order to maintain the precarious balance of the nation and ensure that the financial situation will not take a turn for the worse. With many people wondering if this plan is actually efficient, it is easy to see how many questions have built up surrounding it, but this doesn't mean that it is not helpful, especially for those dealing with credit card debt.
Obama's plan has opened the door for debt negotiation between creditor and debtor, with the aim being to keep both parties up and running - an outburst in bankruptcy requests would be devastating for the economy, so this works as a temporary truce. For credit card debt, the best thing to do is to start a debt settlement in order to only pay the original sum you took, without the added costs such as interest, penalties and so on.
With this reduction in debt of up to fifty percent and a decrease in interest, the average customer can hope to pay off his debt in about two or three years. And if you are worried about the effect on your credit score, you must know that, although it will fall slightly in the beginning, you are likely to be able to get it back up again well before the end of the debt settlement process.
The government plan also offers money to creditors as collateral for debt consolidation loans, another valid method to get rid of debt. With this, you take out a loan at a very low interest in order to pay the whole of their credit card debt without having to deal with accumulated interest and can expect to be debt-free in a few years.
If these methods sound good to you, then it is advisable that you act now - as good as they are, they are only a short-term solution for supporting the economy though this rough patch. So, for your prosperity, make a choice now and eliminate your debt easier than ever before.
Debt settlement is a viable alternative to filing bankruptcy. Most consumers are able to eliminate at least 60% of their unsecured debt while avoiding many of the negative consequences with filing bankruptcy. If you are over $10k in unsecured debt you will be eligible for debt settlement.
