Debt Assistance With the Right Companies and Moves Will Turn the Chilly Climate into Sunshiny Days
Debt assistance is available for people who have problems with their debts. You are not alone for many find themselves in this dilemma every year. Don't panic for every problem has a solution. There are many companies able and willing to help; you will just have to find the right one. Don't rush is one guideline to follow so you don't fall into any trap.
First of all, and perhaps this is for next time, don't paint yourself into the corner. The first minute you notice you are paying a lot of interest and what you owe is ballooning out of control despite the monthly payment you have been sending in, get to work on it right away. Don't wait for things to go too far till there is not enough money coming in to cover the monthly payments.
Stop spending your heard-earned money and talk to the creditors. Meantime write down all the money coming in and those that are going out. See what you can do yourself without having to get another credit card to pay off the one you're having trouble with. At the same time do a research on what companies can really give you the debt assistance you need.
Most of the time you would probably be able to work it out yourself but if it gets overwhelming, then a counselor can help. You might think this is easier said than done but in reality debt assistance will tell you that clearing the debt may take some time. It will take work and commitment on your part to make this problem go away.
So now let's go to what you can expect from a trustworthy debt assistance company. In fact ask them these questions and write down the answers so that you can compare the few you will interview to see which company you will work with. Here are the questions to ask:
Do you provide advice on debt management, help with creating a budget and credit counseling on a one-to-one basis? What other services do you provide? Will I get help avoid the same problem in the future?
Do you provide free information? (If they charge for this and get all the details first of your debt before answering your questions, avoid them.)
Is the debt management that you may enroll me in approved by my creditors? Which debt of mine will not be covered?
Are we going to work out together the monthly payment for my debt?
How long will it be before I get debt free?
When I pay this monthly payment to my creditors, will I get a receipt that you paid my creditors on time? Will I get regular reports?
Will you be able to eliminate late fees and interests my creditors charged me?
How much of my monthly payment goes directly to my creditors and how much of it goes to service fees? Do you charge for monthly and set-up fees? (Don't pay a lot more than $10 for setting up a plan for you.)
What happens if there is sickness in the family and I can't afford to pay?
Finally ask for a written contract with all these answers before signing up and paying them any cash.
That is why it is important to hire a really good debt assistance company. You have to make payments to them directly and they divide your payments among your creditors. If they are less than reputable, they could be tempted not to forward your payment to your creditors.
Another benefit of a good debt assistance company is that they may be able to work out a plan where you will pay less interest. Some creditors may also agree to waive late fees and negotiate with trustworthy companies knowing that they will receive the monthly payment from a reputable organization.
On top of the above, a good assistance company will provide free budget counseling classes and reading materials about debt management. They will do this during the period you are paying off the debt which could anywhere be from three to six years.
The good news is that as you make payments, your credit report will get better and therefore you'll be able to get new credit earlier than if you applied for bankruptcy. Next time, I will show you how to spot a company where you can get bad debt assistance.
Debt Assistance from the Government? Debt Assistance is what you need but reading that there is no grant from the government may make you want to give up but don't. Why? Because government help comes not from grants but other sources.
For example, if you need to free money to pay debt, you may want to apply for food stamps that will help pay for food that will provide good nutrition. Check in the phone book under government pages. Here's the Food Stamp Information Line: Call Toll Free 1-800-221-5689 (A voice-mail system operated 24-hours a day.)
You may want to use this toll-free number to find out more:
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