Non Profit Debt Relief – Best Way Out Of Debt?

It is quite difficult for you to live your life when you have a lot of debt. High levels of debt can cause problems in your personal and professional lives. Your personal life will suffer because of all the stress you feel regarding your debt. People with high levels of debt are more likely to become depressed or turn to crime. Getting a job with a poor credit score can be almost impossible in some places.

Non-Profit Debt Relief Can Be Your Ticket Out

Debt relief services can help you climb out of your debt hole. They will work with you to resolve your debt issues, teach you money management skills and get your life back on track.

Non-profit services will cost you money to use. However, true non-profits will have reasonable fees that you can afford. You can feel confident that your debt problems are being taken care of in a way that caters to your needs.non profit charity organizations

The process you will use with a debt relief service is commonly known as debt negotiation. Your credit counselor will work with your creditors to reduce the amount of debt you owe. Debt such as credit cards, medical bills and even personal lines of credit can be negotiated down.

Using a qualified debt relief service can help you end your debt nightmare. You will find that your stress level is reduced while your health gets significantly better.

How Does Debt Negotiation Help Me

Debt negotiation helps you by lowering your interest rate as well as your principal balance. The combined relief will save you hundreds of dollars each month. That savings can then be used for whatever you need the money for.

Let’s assume you owe $20,000 worth of credit card debt, $28,000 in medical bills and a payday loan worth $1,500. Your total debt amount is $49,500. Let’s also assume that the average interest rate on your debt is 25 percent.

Your total interest payment is going to be $1,031 a month. You also have to consider a minimum principal payment of 5 percent a month as well. It can be difficult to make those payments as pay as keep up with food, gas and other expenses.

However, a credit counselor is going to knock that interest rate to a much lower level. An interest rate of around 10 percent is common. You may find that your interest rate goes down even lower depending on how much you can afford to repay.

Your principal balance is also going to be reduced significantly. Most debt consolidation through negotiation agreements wipe away as much as half of the amount you owe.

Considering a new interest rate of 10 percent on your debt, your new interest payment each month will be just over $421 a month. Your payment of interest plus principal each month could be the same as your old interest payment.

Non profit debt relief companies can work on lowering your interest rates and giving you more time to pay off your debts. They will not work on reducing your principal balance.

How Do I Choose A Good Non-Profit Company

Not all companies who claim to be non-profit are actually run that way. Check to see if the company has a 501(c)(3) designation. This is a government label placed on all non-profit entities.

Consider looking up information from the Better Business Bureau. You can go to their website at www.bbb.org to look up information on companies in your area. Doing so will filter out companies that may be claiming to be non-profit while actually racking up huge profits each year.

Going straight to the BBB website can help you avoid scams as well. There are many sites that come with spellings that are similar to the BBB. However, these are all fraudulent sites.

Schedule a consultation before actually enrolling in any program. Look at their fees carefully before signing anything. A sign of a poor debt relief company is too many fees. Fees that are advertised as voluntary may become mandatory after enrolling. Be cautious about using any company that advertises voluntary fees.

DebtConsolidationUSA.com works with debt relief companies that work on the principal balance you owe and not just the APR or waiving late fees and over the limit fees. This allows you to experience more effective debt relief than a non profit consumer credit counseling organization.

Getting out of debt can help you live a happier, stress-free life. Choosing a good partner to assist in your debt relief efforts is important. You don’t want to wind up even deeper in debt because you didn’t take the time to analyze all your options. Debt relief is a process that needs to be done right the first time. Call right now to talk about your debt relief options. Fill out the form today to get more information about how you can get out of debt.