Best debt consolidation programs' success varies from person to person. Before going for a good and legitimate debt consolidation program, one needs to carefully review his own financial situation first because the same program may not be suitable for everyone. Thus, proper estimation of your financial health is a pre-requisite and the program customized after considering the same can be adjudged as the best debt consolidation program.
You might be wandering to get hold of the best debt consolidation program. But always remain cautious from the slick marketing campaigns of different debt consolidation companies operating in different states. All these companies claim that they offer the best service in the industry but ultimately fail to keep their words. So, always shop around and choose the one that fits your pocket as well as want and also research about their market reputation for the last couple of years.
Best debt consolidation programs - Basic features
It helps in wrapping up your multiple debt accounts into a single one and consequently helps you to simplify your monthly payment. Example:
If you have multiple credit cards and are not able to manage their payment then debt consolidation can simplify your payment by consolidating all your debts into one.
Best debt consolidation program also helps you to save a lot of money by lowering the interest rates and waiving-off your late payments. Example:
When you opt for a debt consolidation program, the debt consolidating company negotiates with your creditors to lower the APR and also waives-off the late fees.
The best debt consolidation program should be able to space out the payments in accordance with your convenience.
What features should you look into a debt consolidating company to get the Best Debt Consolidation Program?
The debt consolidating companies should have the following features: -
The company offering debt consolidation program should be a member of the Better Business Bureau (BBB).
It should have an alternative program worked out as backup if the debt consolidation program fails.
The company should have a fairly good track record of solving debt problems.
Best debt consolidation programs help a person to become debt free and consequently improve his credit score. Thus it will help you to repay your debts in a more structured and systematic manner.
I was wondering if anyone knew a good and legitimate debt consolidation company they could recommend to me. I have heard some horror stories of scumbag companies taking advantage of people in these types of situations. I would also like to know how much will being in a program like this lower your credit score?
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.