Take a moment and reflect at these statistics. This clearly shows that you are not alone in your debt issues. In the United States:
- Average credit card debt per household with credit card debt: $16,007
- Total U.S. consumer debt: $2.45 trillion, as of March 2010 (Source: Federal Reserve’s G.19 report on consumer credit, May 2010)
- Slightly more than half of Americans — 51 percent — said that in the past 12 months, they carried over a balance and was charged interest on a credit card. (Source: “Financial Capability in the United States,” FINRA Investor Education Foundation, December 2009) CreditCards.com
As evidence suggests, debt problems are sweeping the US, engulfing everyone into their own miseries; however, there’s also been a boom in the growth of debt consolidation organizations and companies alongside services that are currently flourishing. Whilst these companies might offer relaxed solutions to assist you with your debt struggles, they don’t do it for free. Expect –> charges or fees. If you discipline yourself and know your financial situation, you might want to consider consolidating your debt by yourself and save yourself those consolidation fees you’re using to pay off your debt.
To consolidate your debt by yourself
Firstly, you’ll be required to negotiate with your creditors to decrease your interest rates (if you have more than one card), as well as late payment fees, that are the biggest barrier to clearing your debts. Once complete, you’ll be required to draft a budget plan and follow it precisely.
Having said that, there is without a doubt more ways of consolidating your debt yourself, discipline! Check out this page to get an idea of the kind of steps you will require in order to do it yourself (here) and finish reading this post too. In addition, there are three strategies that you may utilize here:
Collect a list of creditors and collection organizations/agencies alongside their contact information and most significantly their standard creditors debt settlement stipulations. Understanding your creditors stipulations will help you augment your likelihood of triumphant negotiation.
Sample Debt Consolidation Letters
Make a list of letters with benchmark compositions written to creditors for various instances and purposes. You might also find helpful mailing guidelines in order for you to contact your creditors. For those who have a hard time writing a letter, this is a real useful strategy!
A highly advanced and interactive debt calculator to puzzle out and sum up difficult debt related calculations with a few clicks will be a useful tool. Use this to calculate your monthly payments as well as drafting your budget plans.
When consolidating your debts, self discipline is very important. Make doubly sure that you are committed to your budget plan once its draft and you will soon live a debt-free life again.