Debt Options

A realistic budget plan is what all these options for debt relief should begin with, and takes into account all your basic necessity expenses, monthly minimum payments, total debt, and your income. You can determine the amount you can comfortably afford to use every month in a debt relief option to pay off your debts after your budget plan takes away the basic necessity expenses from your income. You can choose to do this on your own or allow a financial expert to offer you the best debt options for debt help in accordance with your unique situation.

There are various professional debt relief options for overwhelming debt

Too Much Debt

Too much debt can lead to all sorts of problems if you bite more than you can chew and it becomes unmanageable. Most Americans have some level of debt, including a combination of mortgages, student loans, credit card bills and personal loans

Poor Spending

Behaviors are changed almost instantaneously, once we show how money works. Spendthrifts are psychologically in a place when they can’t control themselves and spend their money poorly because they simply don’t know what they’re doing is bad

Use Discipline

Use discipline, reasonable spending expectations and the goal of paying off the debt every month when you’re going to use a credit card. At the least, make more than the minimum payment and don’t saddle yourself with more unneeded purchases

Control Finances

Everyone thinks they can control their finances. One must avoid things like payday loans, car title loans, rent-to-own loans and no credit check items because each of these available quick fixes will only worsen your situation

Too Much Debt

Too much debt can lead to all sorts of problems if you bite more than you can chew and it becomes unmanageable. Most Americans have some level of debt, including a combination of mortgages, student loans, credit card bills and personal loans

Poor Spending

Behaviors are changed almost instantaneously, once we show how money works. Spendthrifts are psychologically in a place when they can’t control themselves and spend their money poorly because they simply don’t know what they’re doing is bad

Use Discipline

Use discipline, reasonable spending expectations and the goal of paying off the debt every month when you’re going to use a credit card. At the least, make more than the minimum payment and don’t saddle yourself with more unneeded purchases

Control Finances

Everyone thinks they can control their finances. One must avoid things like payday loans, car title loans, rent-to-own loans and no credit check items because each of these available quick fixes will only worsen your situation

What Do Debt Options Mean?

Debt options refer to debt relief/help options through which a debtor finds assistance to get on track to eliminating debt and finding financial freedom. Some people have the mental and disciplinary prowess to choose and handle the relief of debt help options on their own, but experienced debt professionals can better negotiate lower rates with lenders, refinance homes, or create budgets that keep you on the right track. Debt relief companies generally work only with unsecured debt, but there are debt help options for secured debt as well. The best debt options implement a debt plan that will guide you to financial freedom with less time and money. There are several established debt relief options available to consistently help the average debtor reduce or even get rid of debt in a realistic strategy completely workable and doable to the debtor. The most important thing is to ensure to complete whatever debt relief option you set out to do, or else you will spend forever in debt. The best debt options for a particular debtor are determined by the type of debt, income and monthly expenses.

Start New Financial identifies the best debt relief option for you that you agree with and is also acceptable to your creditor. Most debt help options have your credit counselor negotiate with creditors on your behalf to determine the lowest amount of your monthly payments. The options of debt repayment includes both secured and unsecured debts, and there are debt consolidation loan options for those with multiple debts. On occasion, a debtor might become enamored with a specific debt relief option that either she/he is unqualified for or is unacceptable to the creditor; the debtor may believe it to be the best debt option with mouth-watering savings. But reality turns in a different verdict once the debtor’s entire financial and personal history are considered, including who the creditors are.

What are the various types of debt relief options?

You don’t have to forever flounder financially if you take the steps today to reign in your out-of-control debt problem. Several professional debt relief options are available to you, and when you partner with financial experts who can refinance homes, negotiate with creditors for lower rates, or create budgets that keep you on the right track, it becomes very beneficial to you. Debt relief companies like Start New Financial can help you reduce or even get rid of your debt in a consistent and pragmatic manner that leaves you feeling light as a feather and so satisfied.

The different types of debt help options include:

  • Credit Counseling
  • Debt Consolidation Programs
  • Debt Consolidation Loans
  • Debt Settlement Programs
  • Bankruptcy
  • Credit Card Debt Relief
  • Student Loan Debt Relief
  • Tax Debt Relief
  • Debt Management
  • Deferment
  • Mortgage Debt Relief
  • Paying the Monthly Balance
  • Auto Loan Debt Relief
  • Payday Loan Debt Relief
  • Medical Debt Relief
  • Federal Government Debt Relief Programs
  • Federal Student Loan Repayment Plans
  • Loan Modification
  • Public Service Loan Forgiveness
  • Fresh Start Program (aka Fresh Start Initiative) for IRS Tax Relief
  • Home Affordable Refinance Program (HARP)
  • Forbearance
  • Debt Forgiveness
  • Workout Arrangements
  • Settlement Agreements
  • Voluntary Surrender
  • 401(k) Loans and Lines of Credit
  • Cancellation of Debt
  • Mortgage Forgiveness Debt Relief Act of 2007 Extended into 2018
  • Refinancing

However, apart from debt forgiveness, most debt relief options fall primarily under a branch of one of the following five (5) options for debt relief:

  • Debt Consolidation Loans
  • Debt Settlement
  • Debt Management
  • Bankruptcy
  • *Paying the Monthly Balance

On this very same website of ours, we have provided you more information on this subject matter in our web page titled “Different Types of Debt Relief and the Right One For You”. Please read it. Thank you!

Make a firm decision to take action with the best debt options for your unique situation and follow it through to completion! Consolidating debt is the most common and popular strategy used, and can be done with or without debt consolidation loan options. A debt management program or debt consolidation loan option should accomplish two things: the amount of interest you pay on your debt should be reduced by it and it should leave you with just one lower monthly payment that is more in line with your means and income. You rid yourself of higher interest rate debts with simply consolidating your debt into a manageable account with a debt consolidation loan option. A whole bunch of stress and anxiety associated with your debt problem is removed from your life by the stability of knowing you have an affordable monthly payment that will eventually eliminate your debt, thanks to the huge help of the best debt option for you.

Various forms of debt consolidation and debt consolidation loan options include:

A Balance Transfer Credit Card

For a promotional period of typically 12 to 18 months, a balance transfer credit card either charges no interest at all or a reduced rate of interest. This is why it is ideal to consolidate all your other higher-interest credit card debt and transfer it to a balance transfer credit card, and where/why it got its name. However, most credit card companies do not allow you to pull this stunt with their own debt; for instance, if you owe Citibank higher interest credit card debt and they are having a balance transfer credit card promotion, they will not allow you to transfer that debt to them, only debt from other banks and companies.

A Debt Consolidation Loan

In this option for debt relief, these loans leave you with just one monthly debt payment that should ideally be lower; you are provided a large amount of money, usually by a bank, credit union or online lender, to pay off multiple older debts.

A Debt Management Plan

This debt relief option typically includes startup and monthly fees and often takes three to five years to repay the debt, but it combines several debts into a single monthly payment at a lower interest rate than most loans or credit cards.

A Home Equity Loan

This debt help option turns what might have been an unsecured debt into a secured one, thereby putting you at risk of losing your home if you don’t keep up with the payments. Here, eligible homeowners get a loan based on the equity in their home to pay off their other debts. But it is a debt relief option because its interest rates tend to be much lower than those in unsecured debts, and so with this you can get rid of those other high-interest loans or debts.

A Retirement Account Loan

With this debt help option, people take out some money from their employer-sponsored retirement account or savings account to pay off their other higher-interest debts. It is still a loan, so you’ll owe taxes and penalties and have less funds for your retirement if you can’t repay it when you’re supposed to.

One of the advantages of debt options is that it is good to have options in life, especially when you are in debt and need help – so you generally are sure to find a fit. The advantages of debt options are that their programs offer different professional financial assistance that usually help debtors use money management strategies to reduce their total debt to be repaid, interest rates are reduced, and also their monthly payments will be much lower than what they were currently paying. You are able to find breathing room, some peace, and greatly reduce some of the stress.

The primary disadvantage of debt options is that just about every one impacts your credit score negatively. Results are not guaranteed and the charges against you increase if the creditors are not willing to cooperate in negotiating with you. So even if the entire debt is not settled, this will lead to extra charges. However, it is extremely rare that a creditor is unwilling to negotiate a delinquent account that would bring them more losses if they don’t negotiate with you.

Advantages of Debt Options

One of the advantages of debt options is that it is good to have options in life, especially when you are in debt and need help – so you generally are sure to find a fit. The advantages of debt options are that their programs offer different professional financial assistance that usually help debtors use money management strategies to reduce their total debt to be repaid, interest rates are reduced, and also their monthly payments will be much lower than what they were currently paying. You are able to find breathing room, some peace, and greatly reduce some of the stress.

Disadvantages of debt option

The primary disadvantage of debt options is that just about every one impacts your credit score negatively. Results are not guaranteed and the charges against you increase if the creditors are not willing to cooperate in negotiating with you. So even if the entire debt is not settled, this will lead to extra charges. However, it is extremely rare that a creditor is unwilling to negotiate a delinquent account that would bring them more losses if they don’t negotiate with you.

*Unlike the other listed options, Paying the Monthly Balance, per se, is not truly a debt relief option. What it is is a true commitment to not miss any payments on your required monthly minimum payment and to make the maximum effort every single month to try and add to it as much as you can every time, so you won’t have to wait as long to become debt-free. The purpose of this is to turn around the irresponsible pattern of becoming delinquent with missed payments and to not have the bulk of the capital of your payment (if not all) go just towards the interest and not to the principal balance of your debt… – so you won’t have to wait some 27 years to finally taste financial freedom. This is the recipe that debtors whose debts become overwhelming were missing and thus led to it being unmanageable. There is nothing complicated about this and is so pragmatic. Having such a disciplined and determined way of wholeheartedly paying off your debt on a monthly basis is what this is all about. The goal here is to NEVER miss a payment and to pay off as much extra money every month over your minimum payment requirement as possible.

The great thing about this option is that high interest rates and late payment fees will not burden you and you bump into financial liberty sooner than what you had signed up for. It educates and indoctrinates you into being a more responsible person. Your new MO will be maintaining the great new habit of paying on time, which will provide insurance to your credit score from being hit. Remember to always add to the minimum whatever extra funds each month that you have left over, every time you can afford to pay more than the minimum, or else it is gonna take you a really long time to finish paying off all your debts. This is why it is so important for you to keep a good budget plan that you stick to, so you can increase your ability to pay, instead of needlessly overspending recklessly. You always have to look into your expenses to see where you can save further. You must particularly focus on first paying off your high interest rate debts with a higher amount than the minimum requirement. Great job! You can and will do it!!

Resolve Your Debt by Starting Your Journey to Financial Freedom Now! Just Call Us!

Start New Financial offers you all the very best alternatives to bankruptcy that are wonderfully individualized to perfectly fit all your needs. You become debt-free quicker and for less, saving you so much time, money and stress, while your credit score isn’t hit as hard. Your Financial Freedom is HERE!

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