Pay Off Your Debt with Credit Card Debt Reduction Services
If you have ever sat down and added up all your credit card debt, you might have been overwhelmed by the number. You can do things that will pay it off quickly, though. There are credit card debt reduction services that you can use to reduce your balances, lower or stop interest charges and get your credit cards paid off faster.
Where to Find Credit Card Debt Reduction Services
If you are interested in getting a head start on paying down your debt, you need to find a reputable debt relief company that offers credit card debt reduction services. The debt relief company will explain all of the debt reduction services that they offer. These services may include debt settlement, debt management and/or debt consolidation.
Debt settlement is the credit card balance reduction plan of the credit card debt reduction services. This program typically is for consumers who cannot afford to repay all that they owe, but do want to repay what they can afford. Your counselor at the debt settlement company will give each of your credit card companies a call to offer them a lump sum settlement amount that is fraction of what you owe on your credit card.
After some negotiation they will settle on an amount the credit card company will accept as a payoff amount. This amount will usually save you thousands of dollars in debt on every credit card, depending on how much you owe. If you had collection agencies calling you on this debt, then when it is paid off they won’t call you anymore.
Using credit card debt reduction services from a debt management company (sometimes called a credit counseling company) is a great way to get your credit card companies to accept a repayment plan that is easier on you financially.
You will still have to pay off the same balance currently on your credit cards, but many times they will stop charging interest or lower your interest rate for the normal five years you will be on the program . They may also agree to a lower minimum monthly payment to give you a little breathing room financially. This allows you to be able to afford to live and also make progress in paying off your debt.
Debt consolidation is using credit card debt reduction services to pay off all of your creditors at once by taking out a low interest loan. The loan you get is at a much lower interest rate than your credit cards are charging you. This will save you thousands of dollars per year in saved interest charges. Other benefits of consolidation include not hearing from collection agencies anymore, paying off any wage garnishments and having only one payment to make each month. That last monthly payment you have is to repay the consolidation loan.
Finding Help with Credit Card Debt Reduction Services
To take advantage of consumer credit card debt reduction services, you need to use a reputable debt relief company. Their debt payoff programs can offer you so much more than you can do on your own to pay back your debt. They can reduce or stop interest charges, reduce your balances on your credit cards and help you negotiate down and payoff your debt.