Info on Debt Consolidation Companies. Our Debt is getting out of control!?

Question

I can't seem to catch up on the bills after loosing my job. I am working now, but paying many bills "late".

Answer 1

DONT GO WITH ANY DEBT CONSOLIDATION COMPANY!!

Each and every one of them is a fraud. These companies do a bad job, doing something that you could do yourself. All they do is negotiate with your creditors.

You can negotiate with your creditors yourself. You will find that they are almost always willing to suspend interest charges or late fees, if you tell them the predicament you are in. Often, they will offer to settle for 50% of your balance. Sometimes more.

Every Debt consolidation company takes advantage of people who are financially ignorant. EVEN THE "NON-PROFIT" ones!!! don't be one of the victims! Negotiate with your creditors YOURSELF~

Answer 2

They are a bit iffy.....I would consider doing much research or talking to a bankrupty attorney to see if that could help you. Definately make sure you go to one that is non-profit, look what happened to Ameridebt. Some are good, some are bad, but see if you can find one that charges very little or does it for free. They can manage to help you lower interest charges and get some of your amounts down but it takes years to pay most of your bills off and you're still paying the fees to them.
I wouldn't suggest bankruptcy, the new laws are stringent, and it leaves a mark on your credit for a long time. After you don't pay a bill for 180 days, it gets written off anyway. They may not try to collect from you or they may sell your account to a bill collector that you'll have to deal with for a long time unless you hide from them.
Check out this:
buddhibbs.com
This is a really good site about bill collectors and companies that are third-party collectors. Know your rights and see if his site has any helpful hints about debt consolidation. I promise, this site is very informative.

Answer 3

Read the following articles. They should help.

Debt Consolidation - Get Out Of Debt
http://www.askaquery.com/Answers/qn1643.html

How to Hire a Debt Counselor?
http://www.askaquery.com/Answers/qn1584.html

What is Debt Relief?
http://www.askaquery.com/Answers/qn1583.html

Debt Management and Building Wealth
http://www.askaquery.com/Answers/qn1581

Answer 4

Consolidation companies aren't the easy fix they sound like they are.

We've been where you are, and here's what worked for us: A "spending fast". We cancelled cable, dropped cell phone plans, didn't eat out, didn't buy new anything...if it didn't go on the table or into the gas tank, we didn't buy it.

It's a shockingly fast cure for the poison. We were amazed how much we spent on Stuff, equally amazed at how little we missed most of it when it was gone, and downright astonished at how fast we found ourselves getting not only caught up, but AHEAD.

And then, we added back just those things we missed - and left all the 'eh, whatever' stuff alone.

Good luck, and hang in there!

Answer 5

Most people do not realize that they are paying 62 to 72 cents of every dollar they earn towards taxes and interest. You are focused on earning and wanting to earn more to be able to pay bills, you really should focus more on how you spend your money. The very first step you should take is to write out your budget and find ways you can cut money out of your budget. The next step is a process called debt stacking that eliminates debt within a matter of 10 years that is including your house if you own one. I can be reached at my email for the details to this program. Do not pay money to get a program or loan to get information that you could get [e-mail]

Answer 6

hi, Debt consolidation is the place you're removing a private loan on widely used words to repay your present credit agreements, the charges and expenditures selection in accordance with how solid your credit history is. An IVA is an option to financial ruin, an insolvency practitioner contacts your lenders makes an contract with them on quantity you will pay (all of them could conform to proceed). you will then pay that over a agreed term, any debt you could no longer realistically repay is written off (it relatively is predetermined on the beginning up hense the will for all of them to conform to the words). An IVA will injury your credit history for a on an identical time as, you wouldnt anticipate to get finance on an identical time as the IVA is working a minimum of. On debt consolidation you would be in a greater effective place concerning to your credit history assuming you dont default on the recent contract.

Answer 7

When you get your check take cash for your daily expenses such as gas and grocerys.Then put the rest in bank and use for bill paying.Next cut up your credit cards but do not close the accounts until they are paid off when you make last payment inclose a notetelling them to close account and notify the proper credit agencys that account was closed and paid off by the account holder.

Answer 8

There's no question here. Contact each company and tell them why you are paying late. IF you avoid them, they will more than likely think that you are a bum...you're not a bum are you? The most powerful tool that you have is to communicate regularly with them so that they will be aware of your situation. You are more than likely to find that they are willing to cooperate with you on a repayment schedules. Good luck.

Answer 9

See if you can get a loan to consolidate at some reasonable interest. If not , maybe consider bankruptcy.

Answer 10

Me too, the bank told me to catch up my bills for 90 days then they would give me a consolidation loan. I said "duh" if I could catch up my bills I wouldn't need a consolidation loan. They said "sorry" I said "Bite me".