Debt Relief Options - The Inside Story

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Debt Relief Options The Inside Story
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This information is brought to you by Planting
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Are you overwhelmed by debt?
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In these uncertain economic times, it wouldnt be
surprising.
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More and more people are looking for help to get
their finances back on track.
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There are debt relief options available and help
may be closer than you think.
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Studies show that excessive debt is a heavy
burden for people to bear.
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The negative impact it has on our minds and
bodies is huge.
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So what can you do to get some relief
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from the debt thats sucking all the joy out of
your life?
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There are 3 main debt relief options available,
credit card balance transfers,
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debt consolidation loans, and credit counseling
services.
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They are all there to help you, but like anything
in life,
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you have to know the potential negatives of the
situation.
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Credit card companies offer one option for debt
relief.
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They will often let you transfer the balances of
your
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other credit cards to their card and offer you a
much lower rate.
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Up front this all looks great, but read the fine
print.
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The lower rate is often only for a short time,
then the rate goes up.
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If the new rate is still lower than what you were
paying
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to start with, that could be a good deal.
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In some cases the rate will actually be higher
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than what you were paying before.
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Sometimes a lot higher! So read the fine print
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and know what you are agreeing to before you sign.
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You may be able to get a debt consolidation loan
through your bank.
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By consolidating some of the debt you have
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into one monthly payment you could lower
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your cash outgo by quite a bit.
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Once again, be careful of what youre getting
into.
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Rather than just focusing on the amount per
month,
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you also need to consider what the new loan
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will cost you over the long haul.
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It could be that they stretch the loan out
longer
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making the monthly amount you pay lower,
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but at an astronomical interest rate.
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In this case you will end up paying back far more
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than if you had just paid off what you had to
begin with.
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Credit counseling companies can also be very
helpful
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when you are bogged down in debt.
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They will help you by working directly with your
creditors on your behalf.
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The will negotiate for you and get your monthly
payment amount adjusted,
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sometimes get you a better interest rate,
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and they may even be able to get the amount you
owe adjusted.
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You would make one payment a month to the agency
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and it would be disbursed to your creditors.
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If you choose to use a credit counseling agency,
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be aware that they do get a fee for their
services.
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In some cases you would have to pay,
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in others the lenders pay the fee.
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Make sure you know which type of agency it is
before signing any contract.
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And lastly, dont let the situation youre in get
the best of you.
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Decide which of the debt relief options
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you feel most comfortable with and get the ball
rolling.
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Soon you will be in a better financial place.
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