A fourth option for debt relief is through credit counseling services. This is similar to debt consolidation in that you pay only one bill to counseling service. They in turn take over all your debt payments. The benefit of this is that any communication with creditors is handled by counseling service. The downside is that credit counseling services work primarily for credit card companies. While they may work for a reduction of interest, they probably won't work for a reduction of principle.

No matter which option you choose for debt relief, all are better than doing nothing and falling further and further behind. Check out all your options before making a decision.

Mortgage websites make comparison shopping easy by sending your request out to several lending companies for bids. You no longer have to rely on local lending companies for offers. With internet, sub prime lenders have become more competitive as they vie for loans.

Read The Terms

Once you find a competitive financing offer, print off a copy of terms and read them carefully. Look for terms that charge a high late fee or several points up front. People with a bad credit history will pay higher fees, but they should not be excessive.

Lock In Rates

After you have done your comparison shopping, lock in rate by completing your loan application. Most mortgage lenders can complete process online, and send out a final copy of paperwork for your approval and signature.

To view our list of recommended bad credit or subprime mortgage lenders online, visit this page: Recommended Subprime Mortgage Lenders Online.