subject: Credit Card Debt Help - The Best Options When You're In Massive Credit Card Debt [print this page] If you have incurred a huge debt on your credit card, the best alternative for you is to opt for a debt relief program such as credit counseling, debt settlement, and debt consolidation. When you are faced with unsecured loans you can't manage you should not opt filing for bankruptcy because you get to lose your credit score as well as your credibility. Filing for bankruptcy has more disadvantages than seeking for credit card debt help. In this guide, I will point out the best options to consider when you have massive credit card dues.
Credit Counseling: Credit counseling is the first step to take when faced with a huge credit card dues, this will help you to manage settling your debt effectively, and one major advantage is that the counselors are able to come up with the best solution for you to deal with your dues.
Credit counselors are professionally trained to help consumers who have found it difficult to deal with their debts and to qualify for a credit counseling, all you need is to be in debt. With a credit counselor, you would have to disclose your income and expenditure so that they can come up with the best alternative to settle the debt.
Credit Counselors will encourage you to opt for the best debt relief programs such as debt settlement and consolidation and ask you to keep bankruptcy as the absolute last option.
Debt Settlement: This is the best alternative for you to settle your massive credit card debts with ease. It has a potential of reducing your debt by up to 60% and it is usually done by a debt settlement company negotiating with your creditor for a reduction/ discount of your debt.
However, this can be done individually but you will only have the strength of reducing your debt by 30% whereas a settlement company knows the loopholes when it comes to negotiating with the creditor on your behalf.
Debt Consolidation: With debt consolidation, the firm hired by the consumer will find the best suitable alternative for you to settle the debt and you will only pay an amount that you can afford. Here, you will have to pay the debt in full but the rate of interest charged will be reduced and some of the costs like late fee, over limit charge etc. will be eliminated so that the amount of money that you pay back is considerably lower.
The consolidators will contact the credit company on your behalf and explain about your financial position. This negotiation between the consolidators and the credit firm will help you to reduce your massive credit card debt and payoff what you can afford.
With the new FTC laws recently passed, debt settlement is a legitimate alternative to filing bankruptcy. Creditors are ready to negotiate and now you won't have to pay a fee unless your debts actually settle. Check out the following link to locate legitimate debt relief companies in your state for free help.
Credit Card Debt Help - The Best Options When You're In Massive Credit Card Debt
