Debt Consolidation - Credit Counselor
Debt Consolidation is the process of combining all outstanding unsecured debts in one loan account and one simple monthly payment. Since debt consolidation service only works with non-profit agencies, creditors offer numerous benefits when enrolled with non-profit agencies, such as:
- Reducing your monthly payments by as much as 50%
- Consolidating your payments into one simple monthly payment
- Eliminating or reducing your high interest rate
- Eliminating late charges, finance charges, annual membership fees, etc.
- Re-aging your past due accounts to improve your credit rating
Most of the debt consolidation companies request their clients to follow these 4 simple steps in becoming debt free. The 4 steps towards debt free are given below:
- Your specialized and certified debt consolidation credit counselor will review your budget information and would try to make a financial budget for you.
- If after discussing your debt situation with your credit counselor you decide to enroll in our debt consolidation program, the debt consolidation company will contact your creditors to have your monthly payments lowered and your interest rates reduced. You simply then send one reduced monthly payment to the debt management program and they will distribute the funds to your creditors on your behalf. You will still be receiving your monthly statements, so you can check and see your balances dropping. If any of your creditors contact you, you can direct them to our debt consolidation office. You'll also be assigned a personal debt consolidation credit counselor to deal with any questions that may arise.
- After you decide to join the debt consolidation program, you will decide the date when you will be making your first payment towards your creditors. You have one easy date that will be your payment date every month. No more different due dates to remember or budget for.
- Keep making your monthly debt consolidation payment on time and you will be on the road to a better credit rating, stable finances and eliminating your debts!
