subject: Credit Debt - Reduce a Credit Card Balance By Making a Debt Settlement Deal [print this page] Credit Debt - Reduce a Credit Card Balance By Making a Debt Settlement Deal
You might not have good money management skills and your credit card debt might be ever piling. You might wonder and dream on getting yourself relieved from credit card debt. Government has come with several policies to help their citizens from overcoming from debt. The most viable option from getting yourself relieved from credit card debt is to choose debt settlement. This process promises to reduce your unsecured debt to a great extent.
Unsecured credit card debts have huge interest rates. Any delay in payments may incur huge interests which in turn pile up very fast. You can talk to creditor to get a reduction from the overall debt. This in turn also reduces the overall interest amount which is beneficial for you. But, if you are not one of those lucky ones to get such a deal, then you can opt for debt settlement process.
You are eligible to choose debt settlement policy if unsecured debt is more than $10k. To clear your debts and to maintain your credit history, debt settlement is the most viable option. If you file for bankruptcy, the credit score will be badly affected which in turn affects your life.
In debt settlement process, you need to choose reputed settlement company, who can help you in getting maximum reduction from overall debt amount. You can also directly negotiate with creditors without approaching the debt settlement companies. The caveat here is that you should spend your time to do all paper work and also posses excellent negotiation skills. It is viable to choose professional help as they might bring you the maximum benefit.
Negotiations will be carried out between both parties to agree for the final settlement amount. These negotiations end up in days; hence you tend to save up lots of time and money. This final settlement can get reduced up to 60%. This amount can be paid immediately or in monthly installments, which ever suites you the most. You need to pay maximum of 15% of your reduced debt amount to these settlement companies.
Debt settlement is a legitimate alternative to filing bankruptcy. Consumers can expect to eliminate around 50% of their unsecured debt with the help of a legitimate settlement program. With the new FTC laws recently passed in July 2010, debt settlement is a much less risky option. If they don't settle your balance you don't have to pay a dime.
Check out the following link for free help from a certified debt relief specialist:
