These hardships can include unemployment, loss of income, unexpected medical bills, illness or death...

1. 9 Questions You Need To Ask Yourself Before Pursuing Debt
Settlement
These hardships can include unemployment, loss of income, unexpected medical bills, illness or
death in the family and divorce.
3. Can you function with a budget?
Being able to save up and set aside funds to pay off settlements will require you to operate within a
tight budget. So, consumers pursuing debt settlement need to disassociate themselves emotionally
from their debts, read up on the Fair Debt Collection Practices Act (FDCPA) and be vigilant about
their goal to be debt-free.
9. All you need is the right information and there are kits you can purchase to guide you through the
process. You should also only deal with companies associated with industry organizations, such as
The Association of Settlement Companies (TASC) and US Organizations for Bankruptcy Alternatives
(USOBA).
Of course, you can always negotiate debt
settlements on your own. Lenders
historically do not negotiate or settle
secured debts, such as home loans,
automobile loans, student loans and other
loans secured with collateral.
4. Can I save up and set aside some money
each month?
While unable to fully repay your debts, you should be financially able to at least pay back a portion
of your debts if you can save up and set aside some money each month. However, as the negative
mark gets older, it has less impact on your credit score.
7. Do I want to avoid bankruptcy?
Debt settlement is really about helping you repay your debts based on your limited financial ability
and keeping you out of bankruptcy, assuming you want to avoid bankruptcy. We expect our food to
be prepared before we put the lids on our fountain drinks. However, many of the would-be bankrupt
are turning to a less drastic solution to their debt problems: debt settlement.
A Super-Short History of Debt Settlement
Debt settlement is nothing new. For your own personal and financial wellbeing, there's nothing like
being debt-free. These banks setup separate departments with specially-trained negotiators who
contacted delinquent customers and offered them a lower pay-off amount to fully settle an overdue
account.

2. Shortly afterward, entrepreneurs set up companies to help negotiate the best possible terms for
financially distressed consumers trying to settle their debts. However, debt settlement is not for
everyone. This is important, because some people don't mind the 10-year stain on their credit or the
fact that they won't be able to file Chapter 7 bankruptcy again for another eight years. This marked
the birth of the modern debt settlement industry. You might end up getting calls from debt collectors
and some debt collectors can be downright nasty. Just do a search for "diy debt settlement kit" or
"do-it-yourself debt settlement kit" and you should find an affordable kit that will show you how to
settle your own debts without spending hundreds or thousands of dollars in professional debt
settlement service fees.
Ultimately, how you resolve your debt issues is up to you.
By: John Janney
Article Directory: http://www.articledashboard.com
About the Author: John Janney is the president of the National Financial Awareness Network,
publisher of the popular Do-It-Yourself Debt Settlement Kit at www.diydebtsettlementkit.com and
the online debtor support community at www.helpfordebtors.com. Can I repay my debts?
If you can repay all of your debts in full, then you should. Can I be patient?
We live in a culture of instant gratification. Here are some questions to ask yourself to help you gain
this understanding.
1. Lenders have been doing this for hundreds of years, but the modern American banking industry
started formalizing the practice after many of their customers starting falling behind in the late
1980s and early 1990s. If you are not financially disciplined, then you should start learning how to
be. It may take months, but if you are consistent and patient the funds will build up.
5. For some, it can be the fastest and least expensive form of debt relief besides bankruptcy. If you
are in debt up to your eyeballs and struggling to make ends meet, then you should do something.
Thousands upon thousands of consumers flocked to debt settlement websites seeking more
information and enrollment into a debt settlement program and debt settlement's popularity as a
bankruptcy alternative continues to grow.
There's good reason for debt settlement's popularity. If you prize your credit score more than being
debt-free, then you should consider getting a second or third job so you can fully repay all your debts
and skip the debt settlement option (assuming you can keep this up for several years until all your
debts are paid). Otherwise, be aware that negative marks can remain on your credit report for up to
seven years (except for bankruptcy, which can stay on your credit report for up to ten years). Also
check with the Better Business Bureau to see how each company handles complaints. Am I
experiencing a financial difficulty?
Not wanting to repay your debts is not a good reason to enter into debt negotiations and creditors
often take financial hardships into consideration during negotiations. It's simply an agreement
between two parties to settle a debt for less than the outstanding balance. However, even saving up
and consistently setting aside this smaller amount each month will add up to a sum that you may be
able to offer as a compromised payoff to settle a debt. They often use guilt to get consumer to pay
debts, even if that consumers doesn't owe the debt or if the consumer doesn't have the ability to pay.
These companies will charge you a fee for their services, so be sure to compare how they charge to

3. make sure you are getting the best deal. This amount should be less than the minimum monthly
payments required by your creditors (if you can comfortable pay your minimum monthly payments,
then debt settlement may not be right for you). It will most likely take several months before you
save up and set aside enough funds to start offering settlements to a creditor and it may take weeks
or even months of negotiations before a creditor agrees.
If you pursue debt settlement, you have options. Our mail has to absolutely be there overnight and
we want our pizza in 30 minutes or less. There are many debt settlement companies to choose from
and even law firms that will negotiate your debt settlements for you. To learn more information
about NFAN, please visit www.nfan.com.
. What kind of debts do I need to settle?
Debt settlement only works for unsecured debt, such as credit card accounts, medical debts and
maybe some department store cards and other personal debts. So, you should try to fully understand
how it works as well as the benefits and drawbacks of this debt relief option before enrolling into a
debt settlement program or attempting to negotiate your own settlements. Massive layoffs, inflation,
unaffordable healthcare, skyrocketing gas prices and hiked-up interest rates on credit card accounts
are plunging millions of consumers to the brink of bankruptcy. According to most debt settlement
company and information websites, a consumer may be able to settle all settlement-eligible debts for
less than the full outstanding balance in less than three years.
Is Debt Settlement Right For You?
If you are struggling with your finances and looking down the cold barrel of bankruptcy, you should
investigate debt settlement. Some people may not have a house they are trying desperately to save
or don't have to deal with the new provisions of the bankruptcy law that are designed to keep some
people from filing bankruptcy. Debt settlement is only meant for people who are financially unable to
fully repay their debts but who might be able to repay debts if the outstanding balances are reduced.
2. Debt settlement doesn't work this way.
It's no secret that Americans are struggling financially. This is because the process results in missed
payments and accounts often go into charge-off before being settled. Pursuing debt settlement is an
honorable way to resolve a tough financial situation, but it does require discipline -- and this means
budgeting.
6. How much do I care about credit?
The debt settlement process can be damaging to your credit. However, if the thought of filing
bankruptcy doesn't sit well with you and you are struggling to get by, then debt settlement might be
just what you need.
8. However, you should definitely investigate any company you consider, whether or not they are a
professional service company or a law firm. Debt doesn't sit; it grows with interest and fees and
every dollar you owe in interest is a dollar you don't have to pay towards rent, mortgage, food,
education or family vacations. Can I separate myself emotionally from my debts?
If you pursue debt settlement, your creditors are not going to be happy with you because they want
you to pay all of your debt, plus interest, plus fees and plus whatever other finance charges they can
dream up