Before you make the jump and decide to go to a company that may ultimately charge you thousands to help you settle your debt, why not make a go at finding your own clear debt solutions?
Here are some simple steps you could take to reduce your debt:
1. Acknowledge that you have a debt problem that will not go away. The sooner you realize that, the faster it is for you to start getting your finances into order.
2. Calculate and total up all of your debts so that you know exactly how much you owe your creditors.
3. Stop using your credit cards as much as possible so that you won't pile on more bills
4. Get a copy of your credit report so you know where you stand financially (and what your creditors are seeing about you)
5. Next, stop giving all of your money to your creditors. Pay some and stash some into your savings. This way, you will have save up some money to show for when you can finally settle off your debt
6.Communicate with your creditors and tell them you intend to settle the debt but you need time. If they pressure you, be firm and tell them you can't afford it now but you are saving up to do so(thus the saving up part in number 5)
7.Be realistic and do some major calculations on how long you need to save up in order to pay up your debt. You will need to be frugal and save as much as possible each month.
8. Finally, if you owe more than three companies and more than $10,000, then it is best you seek professional advice on clear debt solutions.
Get out of Debt
If you are deep in debt, you will need to find ways to get out of debt in the shortest time possible. Being in debt is extremely stressful and a strain to your finances so you should search for the best possible methods for you to get out of debt.
Debt counseling
So, you know you are in debt but you don't know what to do or how to clear it off. Well, there is always a solution as you could always try debt counseling. With debt counseling, you will be able to look at your debts in a different perspective and find a solution to your debt problems.
Debt consolidation loans
One of the more common ways to handle your debt issues is to check out the many debt consolidation loans available. However, there are many debt consolidation loans that charge very high interests which could lead to you owing more money than when you initially started. So, if you are thinking of taking up debt consolidation loans, do a thorough check first and compare the interest rates of various companies before committing.
Credit card debt settlement
If you've been using your credit cards a lot and running up a huge credit card debt, you will really need to find a way for credit card debt settlement. Settling your credit card debt is very important as credit cards always have very high interest and the more you owe them, they more they charge you and the more you will owe them. Do seek ways on how you could go for credit card debt settlement.
Credit card consolidation
Another way to handle your credit card debts is to try out credit card consolidation. Running up debts in several credit cards could mean you have to run around paying to several credit card companies with different interest rates. If you consolidate your credit cards, you could even get lower interest rates and end up paying less monthly as compared to paying to a lot of companies. Again, as with anything else, you will need to check on the interest rates and do a comparison first before you take up any credit card consolidation programs.
Credit card bankruptcy
Nowadays, many people are falling into credit card bankruptcy simply because they kept running into high credit card debts and could not settle it all. Over time, the problem becomes worse as the interests continue to stack up and the credit card holders could not seem to find a way to settle it all. Finally, they ended up filing for credit card bankruptcy. So, to avoid this, it is advisable that you always find ways to clear off your credit card debt before it gets to such a serious stage.
Consumer credit counseling
When you feel as if you are not able to take full control of your finances and your credit rating, it is advisable to go for consumer credit counseling. Having a good credit rating is good as it would allow you to get loans at lower interests, including debt consolidation loans or credit card consolidation programs. So, if you need to find out ways to maintain a good credit rating, do go for some consumer credit counseling.
Credit Repair Services
Since it is so important to have a good credit rating, one of the ways to salvage the situation, if your credit rating had taken a beating, is to search for good credit repair services. By using the readily available credit repair services, you may be able to get back on track with a good credit rating to show for when you apply for debt consolidation loans or credit card debt settlement loans or even for mortgages. However, do remember to check out the charges for such a service before committing because some companies do charge a lot and it could lead you to end up with more debts.
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