Do It Yourself Debt Relief

Written by Tim Gorman

With mounting bills and unforeseen hardships, you may be considering some form of debt relief. There are many options to help you, butrepparttar best may actually be you helping yourself. Here are some suggestions for starting debt relief and becoming more solvent.

First, donít stop communication. While it is a natural response to stop answeringrepparttar 146416 phone and letrepparttar 146417 mail stack up unopened, this doesnít solve anything. Contact your creditors. Explainrepparttar 146418 situation to them. In many cases, they will work with you to reduce your debt by loweringrepparttar 146419 interest rate and waiving over-the-limit and late fees.

Second, stop using all your credit cards. Whether you file for bankruptcy or sign on with a credit counseling service or debt settlement, all of them will demand that you give up your credit cards. Do it yourself now.

Third, make getting out of debt a priority, and work toward debt relief as though you were with a credit counseling service. This is how credit counseling services work. You make one regular payment to them each month, and they disburse your money torepparttar 146420 creditors. When one is paid off,repparttar 146421 extra money is applied torepparttar 146422 other creditors. If you have extra money one month, put it toward one of your bills. As soon as you have paid off that bill, takerepparttar 146423 money you would have spent on that one bill and apply that every month to another bill. By continually making larger payments than what is owed,repparttar 146424 credit cards will be paid off faster.

Recognizing the Signs that You Might Need Credit Counseling.

Written by Tim Gorman

Most families in America today have a credit card; some have two or more. The type of credit card you own, gold, platinum, ext, is almost a status symbol in society. The concept is a good one, using your good credit to purchase big-ticket items that you may need time to pay for. If used wisely, credit cards can be a dependable resource, however, sometimes we are unaware ofrepparttar fact that we are overspending. Some may think that if they are able to makerepparttar 146415 monthly payments, then their debt is under control. This is not alwaysrepparttar 146416 case. These are some signs that you may be in or going inrepparttar 146417 direction of having a major financial crisis. * You use your savings to pay monthly bills. * You pay onlyrepparttar 146418 minimum monthly payments on any of your credit cards. * You take out cash advances to pay your credit card bills, or other bills that you may have. * You are over or nearly over your credit limit on one or more credit cards. * You have been turned down for loans. * You receive calls or letters from collection agencies.

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