Debt Relief Basics | FinancesA-Z.blogspot.com

An old Arabic saying tells us that the burden of debts is more than that of a mountain, and anybody who has been weighed down by mounting bills, credit card and mortgage payments will know that this statement is very true. Unfortunately, not all of us get into trouble because we have been living beyond our means; there are those of us who have led a model life, saved for a rainy day yet the economic doldrums have pushed them into a tough spot. So is there nothing we can do,or is there hope in the horizon? There is, you can make debt relief a reality with a little bit of careful planning, disciplined living and curtailed spending. Let's discuss how:

People who are neck deep in bills are looking for immediate relief, your debt may have piled on in the last few weeks or in the last few years either way, you can get quick debt relief. Getting your credit report is your first step. You can get one free credit report each year if you haven't asked for one yet. Use the credit report to make a list with the details of all your debts without ignoring even the tiniest amount.

Next, you need to look at consumer counseling options; there are many non profit and for profit organizations that offer credit counseling services and they can help you to get debt relief immediately. You will have to meet a debt counselor with your debt list in hand, so that he can carefully evaluate your options.

You will end up paying substantially less than what you originally owed, with a credit counselor on your side because he will try to negotiate the lowest payments for you. You'll be able to afford the monthly payments. The counseling service will forward the money to your creditors on a monthly or weekly basis, after you have given them the money.

Compare the interest rate on your retirement account with the outgoing interest rate; if the latter is significantly more, you are losing more than what you are making through the interest on your retirement account. If this is the case, it's a good idea to cash in a portion of your retirement fund; however, you need to realize that any profit on these funds will be subject to capital gains tax.

Cheaper than a debt consolidation loan, would be taking a second mortgage on your house and it's also a good way to pay off your loans in full. A low monthly payment is required on your second mortgage but that advantage here is that your debts like your credit card bills will be removed instantly.

If you have a sympathetic employer, attempt to approach him for an advance to pay off the smaller debts. But, you have to be willing to live with a slightly smaller salary.

As you can see, there are several options for debt relief; the most important aspect is to be prepared to do whatever it takes to be debt free.

Trust the best baton rouge home inspection companies when you need inspection and verification services. Our lake charles home inspection have the experience and tools to get the job done right.

joe paterno died 49ers game ravens ray lewis baltimore ravens steven tyler national anthem paterno