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Learn several little-known credit repair techniques that can be used to legally remove bad credit from your credit report, even if it's accurate. |
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| Become Debt Free with our Debt Consolidation and Credit Counseling Program.
Make bad credit a thing of the past and make your way to financial freedom. With our debt management program, you will pay off your credit card
bills and other debt with little or no stress at all. |
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- Consolidate your high-interest debt.
- Consolidate high-interest debt such as credit cards.
- Your overall monthly payments will be reduced and may even be tax deductible.
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| Get online legal help to repair bad credits affordably.
Get your free credit report online, offering repairing bad credit information and monitoring, everything repairing bad credit related, view your report online in minutes.
The fact is that if your credit needs repairing, one person
is in the best position to fix it -- YOU
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| Credit Consolidation Company |
Approximately 185 million American consumers have at least one credit card. In any given year atleast 10 new credit card companies are likely to approach you. An $8,000 debt, at a rate of 18% interest, will take over 25 years to pay off and cost more than $24,000 in the long run. Total credit card debt in 2003 was approximately $60 billion; total credit debt was $660 billion. The credit consolidation business runs into billions of dollars and last year more than 1.5 million people approached counseling services to work on credit consolidation programs. There are several hundred of these both non-profit and for profit credit consolidation company. Both require a proper search done on them to arrive at a conclusion as to which type is more likely to suit you. There are two major tools used by a credit consolidation company. Credit consolidation loans, and credit consolidation services.
Credit Consolidation Loans are described as follows: A credit consolidation company lends you money to payoff your bills. You payoff all your credit cards and other debt, now your payments have all been consolidated into just one monthly payment to the lender, hopefully at a lower average APR than your current bills. Credit Consolidation Services offered by credit consolidation company is designed to get you out of debt in 48 months with the help of reduced interest rates. These debt management plans help you get out of debt, and are usually for people who need debt help. If you don't have a home with equity or your credit rating is not good enough for a consolidation loan, a good alternative is called a debt consolidation plan. You can think of consolidation plans as a "bill paying service" that has the influence to work with your creditors to reduce or eliminate your interest and late fees, and agrees to send them your payment every month.
Full disclosure of the following, in case of credit consolidation loans of a credit consolidation company has to be spelt out clearly:
1) The principal amount that you are borrowing.
2) What the interest rate APR will be.
3) How many payments you will pay.
4) Closing costs, if any.
The non-profit credit consolidation companies charge a tiny monthly fee to cover administrative costs. Many fees are optional with non-profit organizations, because many costs are paid by common finance pools from all the creditors and other resources. Sometimes you only have to pay them if you can afford to. Usually it will cost you less to deal with the non-profit organizations than with the "for profit" companies. Some of the "for profit" credit consolidation companies charge between 1 - 5% of your monthly payment as a service fee. The "for profit" companies usually have up front fees of $300 or more before they'll even take you on as a client. Sometimes the fee is refundable after 30 days if you decide not to enroll, sometimes you'll lose the fee, and sometimes it's refunded at the end of the program, usually 48 months. Some salespeople at credit consolidation companies will say your fee is refundable, but you later discover it's only refundable at the and of the program 48 months later, so ask. If you quit the program before it's over (very foolish), all fees are non-refundable. A typical profit company might charge you over $600 in annual fees that are added onto your monthly payment.
If all the above mentioned issues are issues are sorted out, a credit consolidation company should be able to promise you the following:
- Payments are usually reduced up to 60%
- Consolidate all your unsecured debts into one low monthly payment
- Interest assessments will be frozen after the enrollment as a client of the credit consolidation company.
- Penalty and late charges will be waived by making regular monthly payments on time.
- Save thousands dollars in overall cost
- Improve or re-build your credit
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