Debt Management Helps How?
Last year, John and Ann Public took a vacation, bought a much needed new refrigerator, and paid some mounting medical bills all on credit cards. In doing so, they incurred $10,000 of debt that they had intended to pay off over time.
Like many Americans, they only paid themonthly minimum amount due. They may not realize that it may take them 33 years to repay the $10,000 and, they will accumulate as much as $16,000 in interest. The total cost of their debt could reach $26,000!
Earlier this year Ann had to leave work for two months on maternity leave. During this time the couple juggled their bill payments and found themselves falling behind.
As a result, their creditors raised their minimum payments, charged them late fees, and other penalties. Some creditors even raised their interest rates as a penalty for their delinquencies. Now, even though Ann is back to work, they still cannot afford the larger minimum payments. In addition, whatever payments they do send in do not seem to get them anywhere. SOUND FAMILIAR?
Like John and Ann, millions of Americans carry a substantial balance on their credit cards. A temporary job loss, the birth of a child or illness can send some individuals into an overwhelming cycle of late payments, collection calls, and fees.
How Does Debt Management Effect my Credit?
If you already have a debt problem, it is likely that your credit rating has already been affected. If you are unable to meet the original contracted terms of your credit agreement your creditors will register that you are in default. This will be recorded on your credit file and will normally be retained on your file for 6 years.
So how does Debt Managment help you?
Debt Spiral refers you to up to three debt management providers that can:
These debt management providers can take your outstanding unsecured debts, consolidate them, and negotiate an affordable payment schedule to satisfy your creditors, while keeping within YOUR budget.
Money problems can be difficult and traumatic, but there is hope! You can change your financial future, and we're here to help you find the path to financial freedom.
If you feel a debt management program may be of service to you, then let us find you one for free!
Are you still not sure if debt management is for you? There are plenty of advantages to handling your debt through a debt management service
