Top 9 Ways to Get the Best Relief from Your Debts

The advice of a debt relief professional may change your financial future, and that of your family.

Salem-News.com

(SALEM, Ore.) - Living with excessive credit card debt or unsecured debt that is becoming difficult to service is not easy. If this is you, then arranging for the best debt relief possible is a must- do.

You need to take action now before the situation becomes drastic and even harder to cope with, because often little or no progress is made in reducing the debt as the card merchants keep on adding their high compounding interest and other costs each month onto what you owe.

Research has shown that if you are paying the minimum amount on a “maxed-out card” each month it may take around 25 years to settle the debt, providing you don’t charge any further items on the card. This is scary and all the more reason for you to arrange the best debt relief possible to reduce this burden.

How to begin? Do your homework first and follow the simple rules below and you can expect to be debt free in 1 to 3 years, 5 at the very most.

To Get the Very Best Debt Relief Where Do I Start?

Arranging for the Best Debt Relief Is the Solution.

9 Tips for Best Debt Relief Results:

1. If your creditors are pressuring you by telephone instruct them to communicate by letter only. Right now it is best to eliminate as many hassles as possible.
2. Do not tell creditors you are considering debt relief, or any other form of debt reduction.
3. Spend some time to accurately list all your credit card debts, and include any unsecured loans you may have. To get the best debt relief possible it is essential you do this thoroughly and accurately.
4. Prepare a list of all your monthly living costs. Occasional expenses are estimated over a year and divided by 12 to give you a monthly amount. Include a realistic monthly amount for unforeseen expenses.
5. Now edit this cost list: which items aren’t necessary? As an example, the savings by cutting back on buying daily coffees, lunches and eating out regularly can be quite substantial.
6. Note your monthly net income. Is it possible to increase this? If you have a tax refund, bonus or dividend due could you put this toward the debt payment? Include part of some savings you may have. When negotiating debt relief, an upfront or delayed extra cash payment certainly helps the debt relief company get you a better debt reduction result. Cash is king.
7. Now note how much you can afford to pay each month to your creditors. Just the total as the best debt relief company will have you pay this to them and they will distribute it unto your creditors for you. So each month you make just one payment to cover all.
8. Make a list of items you don’t need and could sell online. Things like sports goods, household items, interesting books or manuals, tools and garden equipment, unwanted presents, toys, anything and everything related to music or entertainment. Items like this can and do fetch good prices and is an excellent way of getting extra cash to offset your debt. I’ll sidetrack here briefly. Lately I have been doing the same to clear my workshop and some prices I got were quite astounding.
9. Now, contact a company who specializes in negotiating for their clients the best debt relief possible. Do your homework on finding the best debt relief company, and make your choice wisely.

Debt Relief

In order to fully understand debt relief there are some concepts that need clarification: debt management, debt counselling, debt settlement and debt negotiation are important to fully understand and manage your finances.

Debt Counseling

A Debt Counseling agency will instruct you on how to improve your debt situation by teaching you how to budget, how to stick to a budget, how to spend efficiently and many other tips and tricks necessary to keep a healthy financial life.

Debt Management

In this case, instead of explaining to you how to do it, or while you are explained how to do it, an agent will take care of your finances and control your spending, budget, credit cards payments, loan payments, bills, etc. You’ll lose a lot of freedom but you can be sure that your finances will be taken care of in the most efficient way by professional accountants and agents.

Debt Negotiation

Debt Negotiation is a step forward. Not only will the agent manage your payments but he will also get in touch with your creditors and agree with their new repayment programs to suit your budget. By negotiating your debt, you may obtain up to a 60% debt reduction eliminating excessive interest rates, administrative fees and other costs.

Debt Settlement

Debt Settlement involves legal counseling, and the aid of professional lawyers to reach an in-court settlement or out-of-court settlement with your creditors. If your debt has been handed over to collection agencies, chances are that this solution will have to be implemented.

Sometimes debt settlement is used as a synonym of debt negotiation. However, to be precise, the term settlement is best used when some legal action has been taken or a threat of using legal action has been issued.

As it turns out, the only way to pull yourself out of debt is through hard work and will power. Those essentials and a good debt relief professional to call upon can change your life for the better- and sooner than you think!

Source: Salem-News.com Special Features Dept.