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Does Debt Get You Down?

By John Summers


Negotiating with your creditors for debt settlement followed by debt consolidation is one of the best things you can do to get out of debt. There are three main reasons why this is true. The first reason is that negotiating for settling your debts will result in you having less to repay, which is probably the most basic reason. The second reason is that you will immediately have all of your current debts paid off, and will only need to pay on one loan. The third reason is the most difficult to understand, but has to do with the effect that having fewer open debts has on your credit rating. Because of these reasons, negotiating a settlement for your debts and debt consolidation is the best path for you to take to reach financial freedom.

A lot of people will find themselves with a very large burden of debt in their lifetimes. Sadly, not many people understand how to relieve themselves of this burden. Many think their only recourse is to file for bankruptcy.

It is a pretty simple process to get involved with a debt consolidation agency. Just start by calling around and choosing one. Different agencies might have different requirements to be able to qualify, but very few will deny you for having bad credit. Their goal is to help you restore your credit. Your credit score might effect your interest rate and down payment, however.

Sometimes, the lender doesn't do a credit check and doesn't even really care. They just want you to prove that you have a steady job, and that you will be able to pay the money back. They will loan money to almost anybody.

Creditors really don't like turning accounts over to collections because then they will never see their money. Because of this, they are generally willing to reduce your debt by 50% to close up the account immediately. You really should let your debt consolidation negotiating agency handle this for you, as they will know the tricks of the trade and applicable laws.




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