Your SlideShare is downloading. ×
  • Like
Credit card debt-settlement
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×

Now you can save presentations on your phone or tablet

Available for both IPhone and Android

Text the download link to your phone

Standard text messaging rates apply

Credit card debt-settlement

  • 346 views
Published

Signing up to a credit card debt settlement program is a leap in the dark, with a lot of potential downsides. While debt settlement is certainly the most effective way to reduce your credit card debt, …

Signing up to a credit card debt settlement program is a leap in the dark, with a lot of potential downsides. While debt settlement is certainly the most effective way to reduce your credit card debt, without taking up the bankruptcy option, it requires some due diligence if you want to get the best out of it

Published in Economy & Finance , Business
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Be the first to comment
    Be the first to like this
No Downloads

Views

Total Views
346
On SlideShare
0
From Embeds
0
Number of Embeds
0

Actions

Shares
Downloads
2
Comments
0
Likes
0

Embeds 0

No embeds

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
    No notes for slide

Transcript

  • 1. By Dermot Farrell Copyright © 2012 http://www.creditcarddebtsecrets.orgThe Secret Behind Credit Card Debt – Copyright 2012 – http://www.CreditCardDebtSecrets.org
  • 2. Signing up to a credit card debt settlement program is a leap in the dark, with a lot ofpotential downsides. While debt settlement is certainly the most effective way to reduce yourcredit card debt, without taking up the bankruptcy option, it requires some due diligence ifyou want to get the best out of itThe first steps which you must take, if you decide to take up a credit card debt settlementprogram, are as follows: i) Selecting the right company ii) Monitoring the progress and keeping the process moving forward iii) Overviewing the debt settlement companyStarting with the first point, then let’s see then how to make credit card debt settlementwork for you: i) Selecting the right company: There are a great many credit card debt settlement companies in the market place, however, for credit card debt settlement to work effectively it is really important to select a good debt relief company to represent you. With credit card debt settlement, the debtor stops paying their creditors until they have a reasonable amount of money saved, at which stage the debt relief company begins the negotiation process with their client’s creditors. As a consequence of the debt settlement process, the debtors credit score inevitably ends up been downgraded. Whilst this is a given, and is even ok, considering the bonus side of debt settlement, whereby the debtor often reduces their debt mountain by as much as 50% , it is still important to keep an eye on the process in order to reduce collateral damage as much as possible. There are two important factors here: Firstly if the debt settlement process goes on for a long period of time, the credit score of the debt will be really badly affected. Secondly, if the debt relief company mishandles the negotiation process then miscommunications can result, which may rattle the creditors and may even result in court cases been filed against them. So if you want to know how to achieve credit card debt settlement without any of these results, then selecting the right company is a vital first step. The Secret Behind Credit Card Debt – Copyright 2012 – http://www.CreditCardDebtSecrets.org
  • 3. In order to select the right company, it is important to check out the better Business Bureaus’ (BBB) website http://www.bbb.org/us/consumers/ . Here you can look up a review of the credit card debt relief company, because the BBB reviews and rates all major debt settlement companies. Although, do bear in mind that the BBB also tends to judge debt relief companies a little harshly, so it is also a good idea to Google the debt settlement companies name with the word “complaints” writing beside the name, in order to assess the level of complaints against this company. So don’t take either the BBB or the Google result too seriously, however, if the combined response is one which is overwhelmingly negative, then it is a wise idea to look to another debt relief company in order to bring about credit card debt settlement.ii) Monitoring the progress and keeping the process moving forward: It is really important for you to also take a look at your finances, and make sure that you are doing your bit to help the debt reduction process along. Alter all, it was poor financial habits which brought you into credit card debt in the first place. So the only way to get out of credit card debt and stay out will demand some degree of financial restraint on your part. This entails budgeting, which means that you have to stop spending and start making some savings. And the first step, if you are seeking credit card debt settlement, requires that you stop making purchases with your credit cards. Secondly you have to start living within your budget, so if any sudden expenses come up, at least you can make payment without having to use your credit card. Finally, if you want credit card debt settlement to work for you, then it is really important that you figure out how exactly you are going to make the final credit card debt settlement on each of your outstanding credit cards! Remember, with credit card debt settlement, the debtor has to make a one off settlement, which is usually in and around 50% of the original debt amount. Also, the time frame tends to be within a year, or a little over a year from the time when the process began. In most cases, simply saving the money which would normally have gone to make monthly repayments will probably not be enough, so you will have to either save some money or sell off some of your assets if you want to make the credit card debt settlement.The Secret Behind Credit Card Debt – Copyright 2012 – http://www.CreditCardDebtSecrets.org
  • 4. Whatever you do, don’t stick your head in the sand. At the outset of the credit card debt settlement process you need to know that it is possible to make the final settlement, if it looks like impossibility, then think again, because it is a waste of time taking up with credit card debt settlement and reneging half way along! iii) Overviewing the debt settlement company: If you want to make a good credit card debt settlement, then overviewing the debt settlement company is a must. Never presume that they are professionals, so take the time out to contact your creditors when you begin the process and let them know that you taking up with a debt settlement program, this in it will reduce some phone calls from them. Also keep the pressure on the debt settlement company, because left to their own devices they will usually drag the process out, which will have a more adverse effect on youth credit score and potential court cases.If you are wondering how to make credit card debt settlement work for you, then followthese simple steps and everything will work out good in the end. The problem, with creditcard debt settlement, is that too many debtors simply sign up to the first debt settlementcompany that comes along without thinking about the consequences.While the points which we have raised sound negative, and might even induce you to giveup on the idea of seeking credit card debt settlement, do bear in mind that these are simplythe facts. Everyone wants the 40% or 50% reduction in debt, but few debtors want toaccept the responsibility which goes along with the debt reduction process. Credit card debtsettlement can work for you, however, it takes a little bit of responsibility and a little bit ofresearch on your side in order to get the most from the credit card debt settlement process! The Secret Behind Credit Card Debt – Copyright 2012 – http://www.CreditCardDebtSecrets.org