With soaring interest rates on credit cards many people find it difficult to find the money each month to pay their debts. Knowing where to turn, the internet, and finding some much information about different products, companies it can become difficult to separate all this information into a plan that can help you. It can be increasingly frustrating where there is so much advice as to what to do but there are as many different schemes it is sometimes difficult to know what solution will work for you. What you need is debt help, which is straight forward, easy to understand and offers you a guide to understanding the different options and pinpointing the best solution for you and your situation.
This article is to help you understand what each service means and what the service could do for you. It is in clear English and jargon free. By giving you just the basic information on each option, it can help you make an informed decision of where to go to get the debt help that is right for you.
Before looking at what options will suit your needs, write down all the debts that you have, be honest, and don’t miss any off. Also include the interest rates, minimum monthly payments as well.
This option is for those that can meet all their monthly payments and have interest rates above 15% on their credit cards. The concept behind this debt help is to try and reduce the amount of interest you are paying and putting together a plan that ensures you pay a fixed amount to your creditors each month. By reducing the interest it will reduce the total amount you have to pay back. This option causes less damage to your credit rating.
This option is for people that are really struggling to meet even the minimum payments on their credit cards each month. The company negotiates with the credit card company to reduce the total amount owed. Instead of paying the credit card company the minimum monthly payments each month the payments are held in trust by the debt settlement company until a final figure is agreed and the terms of repayment is also agreed. This will affect your credit rating, as you don’t make a monthly payment. But you could have your final resettlement reduced by half of what you originally owed.
Free Debt help
With free debt help you will work through your problems and create a manageable budget which you can work with to plan paying off your credit card debt. This will give you the confidence to manage your money each month and start towards paying of your credit. It can also help at looking forward teaching you skills to help you not to go back and get into the same situation.
Know that you have a full explanation of what different options are available you will need to decide on which option suits your needs and to find a company that specializes in that field.