Debt Consolidation

Credit management is a challenge for everyone no matter what his or her level of income, age or city of residence. Mark, a
29-year-old sales manager accumulated a debt of over $5000 in just 8 months after moving to a new city. With high rent and numerous bills he found himself suddenly entrenched by the burdens of credit card debt. Mark wasn't irresponsible with his finances. In fact, he had a decent-paying job and paid all his bills on time but with the cost of living and a few big purchases - including appliances and home repair - the hardships of credit card debt became a reality he couldn't avoid regardless of his stable income. Jill, a student at a state university found herself immobilized by credit card debt due to the costs of books, tuition, room and board, and her incapacity to work enough hours to pay off her card while attending school fulltime. She had already exceeded the $1000 mark on one of her credit cards and was only in her second year of a four-year degree program. Because she was a student, her credit limit was low and she found herself repeatedly going over her limit. Much to her contention, she accepted two other cards to pay for the next semester's tuition and books. She expected to charge more as her education continued but she found herself struggling just to pay off over-limit and late fees. Although their situations differ, both felt the same anxiety, stress, frustration and helplessness most do when faced with debt.

To lessen the encumbrance of his debt and to avoid filing for
bankruptcy or taking out a debt consolidation loan, Mark employed the services of a debt consolidator to help eliminate interest and reduce monthly payments of his credit cards. With the help of a financier Mark was able to consolidate all his bills into one monthly payment plan with his creditors that featured more agreeable terms that he was able to work with. In doing so, Mark is anticipating thousands of dollars in saved interest and years shaved off of his payment term. The company that he employed assumed all communications with his creditors and keeps them content with timely monthly payments, even though at a lower interest and monthly rate. Much to Mark's relief, they negotiated with his creditors to establish an agreement that would be of mutual benefit to all parties involved. To eliminate his interest and lower monthly payments, all Mark had to do was voluntarily close his accounts and meet minimum payments.

Jill realized she already had poor credit and she hadn't even entered the "real world." She decided to seek out the help necessary to ensure her the financial freedom she knew she would need once she graduated from college. As with Mark, Jill sought out a debt consolidation company to help combine her three credit cards and create a monthly payment plan. She was quickly able to stop late payments and over-limit charges as well as thwart creditor harassment through her consolidation.

If you have debt of more than $5000 or are repeatedly exceeding your credit card limit, debt consolidation might be for you. There are for-profit and not-for-profit consolidators that can provide you with the tools necessary to control your debt and begin a healthy financial future.