First , beware of people who say they can settle your debts it may cost you more than your debts . Use your second job money totally to pay off your debts and keep making the payments your are making now .Debt settlement is 1/2 step below a Ch 7 bankruptcy and 1 step below a Ch 13 bankruptcy. The only difference between a bankruptcy and debt settlement is you avoid the court proceedings and attorney fees.

If your minimum payments have not increased, a second job may be a good option to get them paid off. Then when you pay off your cards, quit using the damn things. CC issuers are 1/2 step below payday lenders and loan sharks.

If your minimum payments have increased, I would talk to the CC issuer(s) and explain to them that their change in the agreement is forcing you to reconsider upholding your part of the bargain; that is that is to assess the desire to make any more payments on the cards and suffer the consequences which will probably be less than the alternative of paying more money that the original agreement stated. CC issuers are using strong-arm tactics to extort money from their customers with total disregard for the impact they have on their customers. Sure, their agreement states that they can change the agreement at any time for any reason. Who do you think that’s going to benefit?

It is illegal for a business to "bait and switch" when you go into a store. Why is it legal for a CC issuer to "bait and switch"?Debt settlement programs are designed for consumers who are experiencing financial hardships. The primary requirement is that the individual who seeks assistance, from a professional debt settlement service, is experiencing a financial hardship. Secured debts, student loans, and federal credit union debts, and pay day loans, typically, are not accepted.

It is a given that a consumer’s credit rating will be negatively impacted by a debt settlement program, if it has not been negatively harmed by delinquent payments already. It is very important for a consumer to assess his or her financial situation thoroughly. If you can afford to pay your creditors, and you are not having a financial hardship then you should prepare a budget so that you can manage your finances and get yourself out of debt. On the other hand, if you are experiencing a financial hardship and are struggling with monthly payments then you may want to consider alternatives. If this is the case, most alternatives will have a negative impact on your credit rating.

One option is to contact the creditors and try to arrange a payment plan with them. They may be willing to lower the interest rate and possibly lower the monthly payments. However, it will be at the creditor’s discretion to notate a credit report accordingly. This can result in a negative impact to a credit rating. Keep in mind that if you try to negotiate with your creditor, as someone suggests, you may find that they will not be willing to negotiate with you, regardless of your circumstances. It is important to understand that, generally speaking, the representative from the credit card company you speak with may not have the authority to negotiate. Furthermore, they typically negotiate when an account is severely past due.

Debt settlement, also called debt negotiation, is a form of debt consolidation that oftentimes cuts consumer’s total debt in half. Creditors, generally speaking, do not consider settling or negotiating a debt until a debtor falls behind 120-180 days. At this point the creditor is required to "write-off" the debt, also known as "charge off". Typically, when a debtor has gone delinquent for this amount of time a creditor will negotiate a settlement on the debt. Freedom Debt Relief offers debt settlement services. Debt settlement takes, on average, three years to complete. The consumer is not paying creditors during a debt settlement program. This means that debt settlement will negatively impact a consumer’s credit rating for the term of the program. However, debt settlement is usually the fastest and cheapest way to debt freedom. The trade-off is a negative credit rating versus saving money.

Entering a debt settlement program does not prevent creditors from trying to collect or pursue legal action. However, having a professional company represent you can alleviate some of the stress involved in settling debt.

Although it might seem odd to pay a fee to save money, experienced debt negotiators will save you far more than the cost of their fee. They know which creditors are willing to negotiate and how much of a settlement they will accept. Due to their network of relationships, they can settle debts you could not on your own.

There is no simple solution for any one who experiences a financial hardship. There are a handful of alternatives, and each one contains positive and negative aspects. I encourage you to read more about what the alternative options are with the links I have provided below.

If your income level does not support a debt settlement approach, consult with a an attorney in your state who has experience in bankruptcy.

I hope this information helps you Find, Save, and Learn.

Best,
Bill
www.bills.com/blog

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