When you are looking for debt consolidation you may feel as though you have few options. Bankruptcy doesn’t sit right with a lot of folks; what’s more it may not even be an option. If you have reached out to your credit cards before about lowering your interest rate and continued to remain delinquent then your credit provider may not be willing to do that again either.
While remaining forever in debt until you hit the lotto jackpot may be your first inclination you don’t need to be so dour. There are ways to become alleviated from your debt; one such way is to enroll in a debt management program.
Debt management programs offer their customer relief from their debt and a one-stop path to debt settlement which many people may have not even considered.
The way a debt management program works is that they cobble together all your debts and work out a payment plan for you. The interest that you will pay is predetermined and once you have completed all the scheduled payments you will be debt free from all of the participating creditors.
A debt management programs is a pretty good way to alleviate your debt because all the while as you are paying down your debts you generally won’t have access to the lines of credit. The terms of the settlement are made up front and even if it is going to take three or four years, by the time that you are finished and when you really need it you will have relief from your debt.
Enrolling in a debt management program makes a lot of sense for folks who just feel trapped by the burden of high interest rates, late penalties, and who have been making little to no progress or who have actually been sliding backwards on their payments.
If you could use relief from your debts and if you have tried all avenues to getting out of debt but still remain trapped in the vice grips of credit debt then maybe you should look into a debt management program. Just make sure you are clear with all the terms before you sign off on anything, get various competing quotes from different parties, and try and secure the best deal possible.
When you are talking about large amounts of debt from years of neglect, the differences between quotes could be substantial.