How Does Debt Consolidation Stack Up Versus Debt Settlement?
Debt settlements differ slightly from debt consolidation. It is
important to build or repair your credit rating, since nowadays
you practically need perfect credit in order to get a home, car,
personal loan, and so on. If your credit has any record of
negligence, most companies will turn you down.
If you need help with credit repair, you might want to hire an
expert who can get results; otherwise, if you have skills, then
it is important that you take care of your credit issues
immediately. Putting things off only add up more trouble. On the
other hand, getting things done now brings forth results, since
the effort you put in will be obvious.
Debt settlement solutions work to reduce your monthly
installments, as well as reducing the balance you owe. Some debt
settlement organizations will work to reduce your bills up to
70% and claim to help you do this in less than two years. The
companies will also help you rebuild your credit and avoid
bankruptcy.
Although few debt settlement agencies and debt consolidation
companies will claim to help you get out of debt fast, you must
remember that none of us has the potential of being free from
debt entirely. We all pay utilities, rent, mortgages, insurance,
and so forth, so if you believe that you will be debt free in as
little as two years, then you are misleading yourself.
The debt settlement and debt consolidation agencies may help
relieve you of pending debts, but they will never be able to
help you free your life of debt entirely.
Finally, the advantage of debt settlement versus debt
consolidation is that you will reduce your bills, instead of
paying off your regular amount owed. Debt consolidation is
merely the act of combining all your bills, rolling them into
one, and paying one monthly installment.
Talbert Williams Debt-Free-America.com All rights reserved.