A Visa credit card is often the first credit card a consumer gets. Before he applies for the department store card or any other kind of card, the consumer sets out to get a Visa credit card in his hands.
As of September 2011, there were approximately 261 million Visa credit cards in circulation in the United States alone. In April 2009, it was estimated that the average American college student graduates with no less than $4,100 in credit card debt to his name, and that number keeps rising.It is easy to see how Visa credit card debt can start to become a problem for the average consumer. That is why Visa credit card debt consolidation is so popular. Before you sign that Visa credit card debt consolidation agreement to try and lower your debt, you need to understand your other options and make the best decision for your situation.
How Debt Consolidation Works
Visa credit card debt consolidation moves your various Visa card balances from their current accounts to a loan account. The debt balances remain the same.
To make this move, you must qualify for a consolidation loan. A good credit score can help you get a good interest rate. A bad credit score may prevent you from qualifying for a consolidation program altogether.
Why Debt Consolidation Is Popular
When you are getting multiple Visa statements in the mail, it can be easy for payments to go out late or be missed completely. A consolidation loan relieves the problem by combining multiple payments into a single payment.
What Debt Consolidation Is Missing
When you see debt consolidation commercials on television, there are a few facts the advertisers leave out. The first fact is that the average debt consolidation program can take anywhere from seven to 10 years to pay off.
When you consolidate your Visa credit card debt, you are not actually doing anything productive with the debt itself. Moving debt from one account to another does nothing to reduce the balance and help you control your obligations.
Try Debt Settlement
Debt settlement is a much more productive option for people with a lot of Visa credit card debt. The convenience of a single monthly payment is achieved through a settlement account, but there are significant benefits that settlement offers over consolidation.
How Debt Settlement Works
A debt settlement professional contacts your creditors on your behalf and negotiates payoff balances that are up to 50 percent less than the balance you owe. Then, the settlement company puts together an account for you that allows you to make a single monthly payment for all of your debt.
Lowering Interest Debt
One of the things that causes Visa credit card debt to get out of control is the interest rates charged by issuing banks. When your interest rate reaches the 20 percent or higher range, then your monthly payments will start to get out of control.
A debt consolidation arrangement replaces your Visa interest rate with a loan interest rate and really does little to address the problem of growing interest debt. A debt settlement program stops interest from accruing and lowers your interest debt.
Settlement Is Faster
The typical debt settlement program can take anywhere from 24 to 48 months to complete. But remember that up to 50 percent of your debt was negotiated away. That means that your monthly payments are at least 50 percent lower.
You can apply the money you have saved towards your settlement account and pay it off faster. Settlement is a reliable way to get completely out of debt quickly.
Credit Score Is Not Important
As your Visa credit card debt gets out of control, you will find yourself missing payments or making payments late. This will severely affect your credit and prevent you from qualifying for a consolidation loan.
Anyone can qualify for a debt settlement account. You do not need good credit to get the kind of help settlement offers. You do not need any kind of credit at all to be able to enjoy the financial benefits of having your debt negotiated.
Our financial experts can help you to create a comprehensive analysis of your debt situation that can be used to get you the help you need. We can develop a debt settlement program that will have you out of debt as quickly as possible.
We take our job very seriously, and we want you to benefit from our many years of experience. We can help you get out of debt now and then develop good spending habits that will keep you out of debt in the future as well.
Fill out the online form on our website and let us get started with your debt settlement program immediately.