Literally millions of people are struggling with their finances and need financial debt help right now. You are not alone. Even if you’re good with making your payments on time, you might still be a bit behind overall – especially if you are only paying the minimum and have one too many credit cards. It’s a good idea to get help as early as possible before things start to spiral out of control. When it comes to debt, spiraling out of control can happen very quickly and more easily than what many people think.
Luckily, there is a lot of help out there, and you have quite a few choices. The right solution for you depends on your own personal finances, goals, and circumstances. For some individuals and families, a debt management plan is a good choice. However, it isn’t easy to qualify for. In order to be considered for management plan, your debt has to be within a certain range of your annual income – usually between 15% – 49%. You’ll also need proof that you will have enough income in the near future to pay the debts off at a low interest rate.
There are also fees involved in a DMP, although the reduced interest rate could be enough to justify the costs of the fees for getting this kind of financial debt help. While your creditors might flag the accounts you enroll in the management program at the start, your credit score might not be impacted. You must keep up with the payments on time however if you want the plan to go through.
Financial Debt Help for Credit Cards
Perhaps credit counseling might be enough for you. Some individuals just need some guidance to help them determine the best strategy and stay on track of their credit cards and other consumer debts. Some non-profit organizations offer this for free. There are certified credit counselors that will help you build an affordable budget that your family will be able to live with.
If you’re fortunate enough to have enough money right now, it is possible that a lender will actually forgive some of your debt – as much as 50%, as long as you pay the rest of it off immediately. They want to be paid something, even if it’s just half the amount of what is owed, as opposed to waiting for years just to see if you’ll ever catch up on all of the interest.
What about other options? Like financial debt help for businesses? Or consolidation loans? CuraDebt is an organization worth looking into. It’s highly rated for its numerous solutions for a variety of debts, from credit cards to IRS relief.