Debt consolidation?
Question:
Answer:
Beware of any debt consolidation company that wants money from YOU. Debt consildation usually works in the form of a loan. So, if this company isn't giving you 5000 dollars with a repayment plan and interest rate, then they are not a true debt consolidation lender. A debt management program will call up all your credit companies, negotiate a lower rate, combine all payments into one bill that you pay them and they then disburse to your creditors. You need to be very, very careful - there are a ton of scams out there. Before making any deals or decisions, check out the following:
http://www.creditcardscompare.com/debt-c... - an explanation of debt consolidation and how to find a reputable lender
http://www.ftc.gov/bcp/conline/pubs/cred... - some advice from the FTC on debt consolidation
http://moneycentral.msn.com/investor/cal... - a handy calculator from msn money to show you what you'd really be paying
http://www.creditboards.com/forums/... - extremely helpful forum that can offer you a lot of do it yourself advice.
Good luck and I hope this helps.
you need $7500, to clear up $5000 debt? sounds like a good racket to me. You would probably better to contact the cc company and make arrangments with them direct - no fees
The company to use it YOU...why not repair your credit yourself? All you need is the knowledge and information and that can be found at http://www.thecreditrepairmanual.com...
Maybe you'll find there :
http://simpleloansconsolidations.com/?=y...
the first thing to do is to try an arangment with credit cards/loans companies.
Second is your bank for a consolidation.
If you are caught in the credit card debt trap, approach a debt consolidation company for help, instead of paying high rate of interest to your card issuer. Most of the debt consolidation companies provide loans to help you tide over the credit card debts. These loans are known as credit card debt consolidation loan. The advantage of this loan is that you are charged a low rate of interest. The difference between the interest charged on the credit card and the interest on the credit card debt consolidation loan is substantial, saving you quite a big sum of money.
Some good guides on this are here.
More Related Questions & Answers...