Debt Consolidation – Tips for Getting the Best Debt Relief

Many individuals turn to debt consolidation as an easy way to get out from under debt. Debt consolidation essentially makes a plan that consolidates what you owe into a single payment, often with lower interest rates than you currently pay on your individual debts. Often, the combined debts also include higher interest rate credit cards. Lowering interest rates, while reducing your monthly payment, can save you a lot of money over the long term. However, when looking for an Arizona debt relief company to help you consolidate, make sure they offer you the best deal.

With debt consolidation, consumers are able to combine many monthly payments into one convenient, affordable payment. Some people use their monthly savings or income to supplement their income, which helps them reduce their payments. Others use their credit card payments to supplement their savings, while still others may have extra unclaimed credit card notes. Regardless of how consumers come to consolidate their debts, these loans usually reduce the interest rates paid by the credit card companies, and make it easier for debt consolidation consumers to manage multiple monthly payments.

Although debt consolidation offers a great opportunity to save money in the short term, there is usually a long term cost as well. As consumers continue to pay off their debts, they are charged fees and other charges for their services. These fees, and the overall amount of money that consumers pay in fees annually, vary greatly from lender to lender.

A good tip to remember when considering debt consolidation services is that you are paying off multiple debts, and are likely paying more in interest than you originally did. The best way to avoid long term debt is to pay off all of your smaller debts first. Then move on to the larger, debt consolidation loans. If you must take out a loan, make sure you can afford the monthly payments. Most lenders will not lend money to someone who cannot afford to make the monthly payments.

Once you have consolidated your debts, there are other options to consider for debt relief. Consumer credit counseling and debt consolidation organizations may offer low payments, lower interest, or even free credit counseling if you can show them that you qualify. Or, you might want to consider a legal debt relief service. These services work on your behalf with the creditors to negotiate better payment arrangements, or even settlements with the creditors. You will typically pay a small fee for this service, but it could end up saving you thousands over the long run.

Whatever option you choose, do thorough research before hiring a debt relief company. Do your homework and understand exactly what the debt relief service will do for you. Then, select a reputable, certified debt relief organization. Contact the Better Business Bureau for customer reviews. Ask friends and family for recommendations. Once you find the right debt consolidation service, you can be well on your way to financial freedom. For more details visit

Consumer Debt Relief Services – What Are the Pros and Cons?

When you’re in trouble, it’s easy to get overwhelmed with debt and not know where to turn. Many people are seeking some kind of debt relief help, but they don’t know where to start. There are two options available to you: you can hire an expensive debt relief company in Albuquerque to help you resolve your debt problems; or, you can educate yourself on debt management so that you better understand your debt situation. If you’re currently facing financial troubles and struggling to pay your debt, then you have come to the right place to get the facts and start your debt relief journey.

If you’re looking for help, one option is debt relief counseling. Many debt relief companies offer free debt relief counseling sessions to potential clients. If you’re considering credit card debt reduction, a good credit card counseling agency may be able to provide you with a credit card debt reduction plan. Credit card counseling agencies usually offer the same services as other credit card counseling agencies. They will evaluate your situation and help you create a realistic budget.

If you have a job and are financially stable, debt relief counseling may be a good alternative for you to consider. Some agencies offer their services to clients who are unemployed, self employed, or have been laid off. These non-profit agencies also offer credit card debt reduction services for clients who are unable to pay their credit cards. The credit card counselor will evaluate your financial situation, help you develop a workable budget, and offer debt management advice.

Credit counselors at debt relief services are certified professionals who are expected to offer sound financial advice to their clients. Debt relief services are not the same as debt consolidation loans. If you choose this debt relief option, you’ll make one payment to the debt relief agency and they will distribute the funds to each of your creditors according to a payment schedule you set up.

The main advantage to using non-profit debt relief services is that you will only make one single payment per month to the agency instead of making multiple payments to your creditors. This will save both time and money. To make a quick assessment, let’s assume you owe money to five creditors and your monthly income is approximately two-months worth. Your total debt consists of fifty dollars in unpaid credit card debt, forty dollars in delinquent taxes, and three-hundred dollars in miscellaneous debt such as store cards, travel cards, and CD’s.

Based on your unique situation, your debt relief counselor can come up with a debt reduction solution that works for you. Your counselor will sit with you and discuss your options. Depending on your unique circumstances, your debt relief counselor can help you develop a debt management plan (DMP), which will require that you make one monthly payment, along with other small payments, to the agency. The goal of the DMP is to permanently eliminate your debt. However, your debt relief agency will hold the final say as to how the money is spent.