tag:blogger.com,1999:blog-44541712125346361612024-03-13T01:20:32.659-04:00Evergreen FinanceThis blog includes tips and short articles about personal finance. Everything from debt help options, to credit cards and home mortgages.Evergreen Financehttp://www.blogger.com/profile/06840430228368372171noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-4454171212534636161.post-83638618400183350242021-01-22T12:34:00.005-05:002021-01-22T12:34:49.855-05:00Difference Between Chapter 7 and 13 Bankruptcy<p> </p><div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgTKPlYtbZke9y27VNWYR76KjdLXRaZHVimTnNknrT1bfWzcVtLOzUUfRxTqddTblZphhBBFHXxmwuwUtvimIOJPRyr6rbAW7MCO9PuiyoXlgG2iLsHFa4Qdtw2mLix1eXti2nxt4RHpOE/s1602/Bankruptcy+Sign.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="1040" data-original-width="1602" height="368" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgTKPlYtbZke9y27VNWYR76KjdLXRaZHVimTnNknrT1bfWzcVtLOzUUfRxTqddTblZphhBBFHXxmwuwUtvimIOJPRyr6rbAW7MCO9PuiyoXlgG2iLsHFa4Qdtw2mLix1eXti2nxt4RHpOE/w566-h368/Bankruptcy+Sign.jpg" width="566" /></a></div><br /><p><span style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px;">Bankruptcy is the legally declared inability or impairment to repay ones debts. While individuals and organizations may become unable to pay their debts, only a court can rule that they are bankrupt, and reduce or eliminate their debts.</span></p><h1 style="background-color: white; color: #329834; font-family: "Times New Roman", Times, serif; font-size: 14px; margin: 2px 0px 0px 6px; text-align: left;">Bankruptcy Chapters</h1><p style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px; margin: 8px 0px;">U.S. Bankruptcy Code (under Title 11) of the United States Code is divided into 6 chapters.</p><ul style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px;"><li>Chapter 7: basic liquidation for individuals and businesses</li><li>Chapter 9: municipal bankruptcy</li><li>Chapter 11: rehabilitation or reorganization, used primarily by business debtors, but sometimes by individuals with substantial debts and assets</li><li>Chapter 12: rehabilitation for family farmers and fishermen</li><li>Chapter 13: rehabilitation with a payment plan for individuals with a regular source of income</li><li>Chapter 15: ancillary and other international cases</li></ul><p><span style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px;">"Chapters" essentially define liquidation for entities unable to pay their debts. A reorganization (Chapters 9, 11, 12, and 13) is when an entity doesn't liquidate but is restructured to be able to pay, and the new Chapter 15 created to handle foreign corporations with United States debts. Individuals are primarily concerned with <a href="https://www.1855jetdebt.com/chapter-7-vs-13-bankruptcy/">Chapters 7 and 13</a>, as Chapter 11 is rarely used by individuals unless they have extremely large amounts of assets, and Chapters 9, 12, and 15 are reserved for special entities.</span></p><p style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px; margin: 8px 0px;"></p><h1 style="background-color: white; font-family: "Trebuchet MS", Arial, sans-serif; font-size: 14px; letter-spacing: 1px; margin: 10px 0px 0px 10px; text-align: left;">Chapter 7 Bankruptcy</h1><p style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px; margin: 8px 0px;">By filing Chapter 7 Bankruptcy, all non-protected assets of the individual (determined by state law) are liquidated by a U.S. Trustee and the proceeds are used to pay the creditors. After the creditors are paid whatever is received, the individual receives a Chapter 7 discharge, and the debts are considered released.</p><p style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px; margin: 8px 0px;">Under the The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, individuals cannot file for bankruptcy unless within 180 days prior the debtor received an "individual or group briefing" from a nonprofit budget and <a href="https://www.mortgagewiki.org/5-tips-how-to-improve-my-credit-score/">credit counseling agency</a> approved by the United States trustee or bankruptcy administrator. Debt Insider works with non profit credit counseling agencies, who will help you pay off your debts if possible, or establish bankruptcy eligibility if not.</p><h1 style="background-color: white; font-family: "Trebuchet MS", Arial, sans-serif; font-size: 14px; letter-spacing: 1px; margin: 10px 0px 0px 10px; text-align: left;">Chapter 13 Bankruptcy</h1><p style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px; margin: 8px 0px;">Under chapter 13 the debtor (through their lawyer) will propose a plan to repay the creditors over 3 to 5 years. During this time, the creditors cannot attempt to collect their debt outside of this program. The plan will require all disposable income to be used to repay the debts, and at the end of the plan, the remaining money owed to the creditors is discharged.</p><p style="background-color: white; color: #4a4a4a; font-family: Verdana, Arial, Helvetica, sans-serif; font-size: 12px; margin: 8px 0px;">While a Chapter 13 appears to be similar to a debt management plan with the required repayment, chapter 13 has the benefit of a discharge at the end but the drawback of higher payments and interest rates during the repayment. If your attempt at debt consolidation fails, you may have already significantly reduced your outstanding debts, making the resulting Chapter 7 or 13 bankruptcy less painful.</p>Evergreen Financehttp://www.blogger.com/profile/06840430228368372171noreply@blogger.com0United States37.09024 -95.7128918.780006163821156 -130.869141 65.400473836178847 -60.556641tag:blogger.com,1999:blog-4454171212534636161.post-72612879641052994822021-01-18T10:44:00.004-05:002021-01-18T10:51:52.850-05:00What Debt Solutions The Best? <p><span style="font-family: helvetica;"> </span></p><div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgy8ZOFNlexgl4It7ho9i9dgHPe-PkMXWVVhBgj3ecf78VUto3ooWlXi00D5mskCK0v-bpFTygpHH4AZMxSfApSUOyqWOSM6Ua6FcgvT5F2Stb0BGGxbcGflTIEsWg0wsxSDXxzbdvHCRU/s1624/How+People+Get+Themselves+Out+Of+Debt.jpg" style="margin-left: 1em; margin-right: 1em;"><span style="font-family: helvetica;"><img border="0" data-original-height="990" data-original-width="1624" height="352" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgy8ZOFNlexgl4It7ho9i9dgHPe-PkMXWVVhBgj3ecf78VUto3ooWlXi00D5mskCK0v-bpFTygpHH4AZMxSfApSUOyqWOSM6Ua6FcgvT5F2Stb0BGGxbcGflTIEsWg0wsxSDXxzbdvHCRU/w578-h352/How+People+Get+Themselves+Out+Of+Debt.jpg" width="578" /></span></a></div><span style="font-family: helvetica;"><br /></span><p><span style="background-color: white; color: #4a4a4a; font-family: helvetica;">Debt consolidation is a relatively broad term - it's a type of debt program that convert all your monthly unsecured debts into a single monthly payments. It often involves a credit counseling portion, where a credit counselor reviews your finances and help you determine which approach to managing your debt is right for you.</span></p><p><span style="background-color: white; color: #4a4a4a; font-family: helvetica;">Generally, your options are personal bankruptcy (chapter 7 and chapter 13 most commonly), debt consolidation loans, debt management plans, debt settlement programs, or simple budgeting & repayment without a program.</span></p><h2 style="background-color: white; color: #329834; margin: 2px 0px 0px 6px; text-align: left;"><span style="font-family: helvetica; font-size: medium;">Debt Consolidation Loans</span></h2><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">Commonly advertised by credit card companies, a debt consolidation loan is a new line of credit that rolls all your other lines into it. While most people would get a higher rate to do this, by securing the loan with the equity in your home, one can get a more affordable interest rate, and the interest is often tax deductible as a home mortgage.</span></p><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">These loans may be interest-only home equity lines, or amortizing second (or first) mortgages, amortizing over 15, 20, 25, or 30 years. If your debts are from behavior that you have corrected, these loans are often the cheapest way to fully repay your debt without adverse effects on your credit score. However, if you get yourself back in debt, you have now "lost" your home equity and if you fail to make payments, your house can be foreclosed on.</span></p><h2 style="background-color: white; color: #329834; margin: 2px 0px 0px 6px;"><span style="font-family: helvetica; font-size: medium;">Debt Management Plans</span></h2><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">Commonly known as debt consolidation or consumer credit counseling, debt management plans are programs where the consumer enters the program and has a single payment to the debt management program. These programs are usually administered by non-profit companies, and the creditors have guidelines for negotiated rate decreases.</span></p><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">If you stay in the program, the simplicity of a single payment taken from your bank account via ACH, combined with the changes in interest rates and monthly payments, may help you get out of debt faster than on your own. However, if you drop out of the program early on, you will be ineligible for another opportunity for a year and you will be further behind because of the setup fees. This is much less risky than a debt consolidation loan, but adversely affects your credit.</span></p><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">These programs are good for people intending to reform their credit usage, but won't quite "bet the house" on it.</span></p><h2 style="background-color: white; color: #329834; margin: 2px 0px 0px 6px; text-align: left;"><span style="font-family: helvetica; font-size: medium;">Debt Settlement Programs</span></h2><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">If debt management doesn't work for you, your credit counselor may offer you debt settlement. With debt settlement you make a more affordable payment into the debt settlement program, and your creditors continue to assess fees.</span></p><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">Debt settlement programs work on the assumption that your creditors will eventually settle for the amount of money in the settlement account, because if they don't the other creditors will and they'll just be able to chase you into bankruptcy which they don't want. These programs often save you money, but leave your credit score badly damaged. If you can't afford a better option, these programs are the least costly up front.</span></p><h2 style="background-color: white; color: #329834; margin: 2px 0px 0px 6px; text-align: left;"><span style="font-family: helvetica; font-size: medium;">Budgeting and Repayment</span></h2><p style="background-color: white; margin: 8px 0px;"><span style="font-family: helvetica;"><span style="color: #4a4a4a;">According to Todd Middleton who is head of content at </span><a href="https://www.1855jetdebt.com/"><span style="color: #2b00fe;">1-855-Jet-Debt</span></a><span style="color: #4a4a4a;">, "if you aren't in awful financial shape your counselor will help you construct a budget that pays off your debts and live within your means".</span></span></p><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">The best time to choose one of the other programs is before you fall behind on your payments, but if you are handling your payments but simply stressed out about them, you may be best off tightening your belt and increasing your monthly payments. This will make your short term cash flow more difficult, but you will quickly see your balances go down, and most credit card companies will change your rates if you are making timely payments.</span></p><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">If this option seems hopeless, it may be a good first step. You might be able to change your balances and make clean payments for 24 months, which would alter the rate that you would pay on a debt consolidation loan. You may also be able to change your monthly minimums enough that you will be able to enter a debt management plan at an easier to afford level, making those few years without credit cards less painful.</span></p><h2 style="background-color: white; color: #329834; margin: 2px 0px 0px 6px;"><span style="font-family: helvetica; font-size: medium;">Bankruptcy</span></h2><p style="background-color: white; color: #4a4a4a; margin: 8px 0px;"><span style="font-family: helvetica;">Most consumers who file bankruptcy do so under chapter 7, full discharge of debt, or chapter 13, a court ordered payment plan. Until the recent bankruptcy reform legislation, chapter 7, the full discharging of all debts was most popular. Under the new laws, debtors are means tested before being eligible for chapter 7, and otherwise are placed under chapter 13.</span></p>Evergreen Financehttp://www.blogger.com/profile/06840430228368372171noreply@blogger.com0United States37.09024 -95.7128918.780006163821156 -130.869141 65.400473836178847 -60.556641tag:blogger.com,1999:blog-4454171212534636161.post-23333676652556132002020-12-08T02:13:00.007-05:002020-12-25T19:13:11.122-05:00Debt Settlement FAQ - What You Should Know<p> <a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhhMMAAkCdUJJ3vZSA5s9-RQtlNYLKVRIsM_C4gCkbW_xxiHybxqJNuhkAoquPQ9ZFOlasrWD_4D_N2CPsNCR_ju8wL-pFGEVt9Vbd7izjFUu-n4CAmdanALELIAIV6Sa0KAYI9BqS_sPE/s2048/Debt+Settlement+FAQ.jpg" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="1155" data-original-width="2048" height="315" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhhMMAAkCdUJJ3vZSA5s9-RQtlNYLKVRIsM_C4gCkbW_xxiHybxqJNuhkAoquPQ9ZFOlasrWD_4D_N2CPsNCR_ju8wL-pFGEVt9Vbd7izjFUu-n4CAmdanALELIAIV6Sa0KAYI9BqS_sPE/w560-h315/Debt+Settlement+FAQ.jpg" width="560" /></a></p><span style="font-family: arial;"><br /></span><span style="font-family: arial;">For anyone living with a lot of debt, life can feeling overwhelming.</span><p></p><p><span style="font-family: arial;">Even though things might seem great, you actually have a few options when it comes to debt relief and debt settlement. There's no over-night cure, but debt settlement is one of the most effective <a href="https://www.1855jetdebt.com/how-to-get-rid-of-credit-card-debt/">ways to get out of debt</a>.</span></p><p><span style="font-family: arial;">Here is what you should know:</span></p><span><span style="font-family: arial;"><a name='more'></a></span></span><p><b><span style="font-family: arial;">What Is Debt Settlement?</span></b></p><p><span style="font-family: arial;">Essentially, debt settlement is where you and your creditors come to an agreement on a specific amount that will fully discharge the debt owed. Generally, this amount is less than you actually owe, although how much less will depend heavily on your specific situation.</span></p><p><span style="font-family: arial;">In most cases it's wise to consult with a professional debt relief company.</span></p><p><span style="font-family: arial;"><br /></span></p><p><b><span style="font-family: arial;">How Does Debt Settlement Work?</span></b></p><p><span style="font-family: arial;">Generally, the <a href="https://wordpress.com/post/1855jetdebt.wordpress.com/107">debt settlement company</a> contacts your creditors and takes over your account, negotiating aggressively to drive down what you owe. The money to pay this debt is stored in a special savings account to demonstrate good faith that you can pay the bill. Once a settlement is reached and the money is available, the debt is paid.</span></p><p><span style="font-family: arial;"><br /></span></p><p><b><span style="font-family: arial;">Why Do Creditors Settle For Less?</span></b></p><p><span style="font-family: arial;">Most other options will involve them getting far less money, or not even getting paid at all (in the case of bankruptcy). Debt <a href="https://cccspr.org/services/" target="_blank">settlement</a> also has a distinct advantage in that it’s less legally complicated and therefore less expensive for your creditors. In short, negotiating with you and the debt settlement representative you’ve chosen is more cost-effective and more likely to result in less of the debt being paid.</span></p><p><span style="font-family: arial;"><br /></span></p><p><b><span style="font-family: arial;">What Makes Debt Settlement Different vs. Other Debt Help Options?</span></b></p><p><span style="font-family: arial;">The first, and by far the most important, advantage is that it does less damage to your credit. For example, if you choose bankruptcy, your credit score will be dinged for a decade or more, and you’ll struggle to buy a home, buy a car, or even get a credit card in some situations. With a debt settlement plan, your accounts will be marked “paid in full” or “settled,” meaning that as you move forward, you’ll be able to secure credit more easily.</span></p><p><span style="font-family: arial;">Another big advantage is that a debt settlement program will ensure that you can retain more of your assets. Depending on the bankruptcy you’re forced to engage in, you may lose anything from your house to your savings accounts; potentially everything. Furthermore, some debts simply cannot be discharged in bankruptcy, and the bankruptcy itself can be “rejected”, meaning that you can be legally returned to the point you were before, with all your debt still on your books.</span></p><p><span style="font-family: arial;">In the case of bankruptcy, debt settlement protects your credit and saves you a substantial amount of money in court fees, legal consultations, and other problems.</span></p><p><span style="font-family: arial;"><br /></span></p><p><b><span style="font-family: arial;">How Do I Choose a Debt Settlement Company?</span></b></p><p><span style="font-family: arial;">Not all debt settlement or relief companies will have your best interest - it can be a shady industry if you don't do thorough research in who you're dealing with. The <a href="https://www.1855jetdebt.com/debt-relief-companies/">best debt settlement companies</a> work with the consumer to design a payment program that will allow their clients to become debt free in as short a time period as possible.</span></p><p><span style="font-family: arial;">The settlement process involves extensive knowledge of consumer lending. You can try to settle it yourself, but an experienced debt negotiator is probably worth the investment.</span></p><p><br /></p>Evergreen Financehttp://www.blogger.com/profile/06840430228368372171noreply@blogger.com0New York, NY, USA40.7127753 -74.005972812.402541463821152 -109.1622228 69.023009136178842 -38.849722799999995tag:blogger.com,1999:blog-4454171212534636161.post-985655239634253732020-11-04T06:33:00.008-05:002020-12-26T00:12:35.478-05:00How many credit cards should I have?<p></p><div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjZ49F4EccbpFsfKwyTisGarBnNu011OMWQOHCQ4elqrmJFpv15Rloc0b4_PvV95QKAlMLYHxaw_HT5vyaaYZO6Q33DPZl3z7LpQuaCukKNEnR6k__815oABdRPK6CvSbAgejiN1WsXPZk/s1596/How+many+credit+cards+should+I+have.jpg" style="margin-left: 1em; margin-right: 1em;"><img alt="Lots of credit cards image" border="0" data-original-height="972" data-original-width="1596" height="345" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjZ49F4EccbpFsfKwyTisGarBnNu011OMWQOHCQ4elqrmJFpv15Rloc0b4_PvV95QKAlMLYHxaw_HT5vyaaYZO6Q33DPZl3z7LpQuaCukKNEnR6k__815oABdRPK6CvSbAgejiN1WsXPZk/w572-h345/How+many+credit+cards+should+I+have.jpg" title="Credit cards" width="572" /></a></div><span face="Raleway, sans-serif" style="background-color: white; color: #3a3a3a;"><br /><span style="font-family: arial; font-size: medium;">Depending on how financially responsible you are with spending, there's a lot of upside to having more than one credit card. There's no perfect <a href="https://cccspr.org/bad-solutions-for-credit-card-debt/" target="_blank">number of credit cards</a> you should have, although experts suggest carrying at least two cards, if only to build-up your credit score.</span></span><p></p><p><span style="background-color: white; color: #3a3a3a; font-family: arial; font-size: medium;">For instance, you may carry an unlimited cash back rewards card for everyday use, along with a travel rewards card for more activity-specific rewards. Some experts recommend that you diversify with multiple <a href="https://www.1855jetdebt.com/what-type-of-credit-card-should-i-get/">types of credit cards</a> for the greatest saving potential.</span></p><p style="background-color: white; border: 0px; color: #3a3a3a; margin: 0px 0px 1.5em; padding: 0px;"><span style="font-family: arial; font-size: medium;">When considering applying for more credit cards, keep the following in mind:</span></p><ul style="background-color: white; border: 0px; color: #3a3a3a; list-style-image: initial; list-style-position: initial; margin: 0px 0px 1.5em 20px; padding: 0px;"><li style="border: 0px; margin: 0px; padding: 0px;"><span style="font-family: arial; font-size: medium;"><span style="border: 0px; font-weight: 700; margin: 0px; padding: 0px;">Do not close old credit cards that you are not using.</span> Having a longer credit history reflects well on your overall credit score. (There are exceptions, however, including if annual fees are no longer worth the effort.)</span></li><li style="border: 0px; margin: 0px; padding: 0px;"><span style="font-family: arial; font-size: medium;"><span style="border: 0px; font-weight: 700; margin: 0px; padding: 0px;">Find cards with extra benefits. </span>Many cards offer additional perks like auto collision insurance, roadside assistance and liability protection; look for these cards and determine which rewards you would use most often.</span></li><li style="border: 0px; margin: 0px; padding: 0px;"><span style="font-family: arial; font-size: medium;"><span style="border: 0px; font-weight: 700; margin: 0px; padding: 0px;">Get cards that will reward you for the purchases you already make</span>. If you spend a lot on groceries, a cash back card that gives you extra rewards for grocery purchases would be a wise investment.</span></li><li style="border: 0px; margin: 0px; padding: 0px;"><span style="font-family: arial; font-size: medium;"><span style="border: 0px; font-weight: 700; margin: 0px; padding: 0px;">Keep track of your payment dates and annual fees. </span>Having multiple cards can make it difficult to remember which card payments are due when; stay on top of your expenses and keep your spending within your budget.</span></li><li style="border: 0px; margin: 0px; padding: 0px;"><span style="font-family: arial; font-size: medium;"><span style="border: 0px; font-weight: 700; margin: 0px; padding: 0px;">Don't go into credit card debt.</span> Regardless of the number of credit cards you hold, make sure to pay off your entire balance in full each month. <a href="https://www.1855jetdebt.com/how-to-get-rid-of-credit-card-debt/">Credit card debt</a> is a slippery slope.</span></li></ul><p style="background-color: white; border: 0px; color: #3a3a3a; margin: 0px 0px 1.5em; padding: 0px;"><span style="font-family: arial; font-size: medium;">Simply put, there is virtually no downside to having several credit cards at once, provided you can handle your balances responsibly and the annual fees are within your budget.</span></p><p style="background-color: white; border: 0px; color: #3a3a3a; margin: 0px 0px 1.5em; padding: 0px;"><span style="font-family: arial; font-size: medium;"></span></p><blockquote><div><p style="color: #555555; font-family: arial, sans-serif; font-size: 1.2em; line-height: 1.3em; margin: 0px 0px 10px; padding: 0px;"><a href="https://www.1855jetdebt.com/best-types-of-credit-cards/" target="_blank">Charge cards</a> usually have more perks and higher credit limits, but require a 700+ credit score.</p></div><div></div></blockquote><p style="background-color: white; border: 0px; color: #3a3a3a; margin: 0px 0px 1.5em; padding: 0px;"><span style="font-family: arial; font-size: medium;">When it comes to your credit score, the only factors that will be affected by applying for multiple credit cards are the number of hard inquiries on your <a href="https://www.mortgagewiki.org/5-tips-how-to-improve-my-credit-score/">credit report</a>, and the average age of your accounts (both of which affect only a small portion of your FICO score).</span></p><p style="background-color: white; border: 0px; color: #3a3a3a; margin: 0px 0px 1.5em; padding: 0px;"><span style="font-family: arial; font-size: medium;">In fact, having many credit cards raises your overall credit limit, and lowers your debt utilization ratio.</span></p>Evergreen Financehttp://www.blogger.com/profile/06840430228368372171noreply@blogger.com0Brooklyn, NY, USA40.6781784 -73.944157912.367944563821155 -109.1004079 68.988412236178846 -38.787907899999993tag:blogger.com,1999:blog-4454171212534636161.post-86182772256194714772020-11-04T03:56:00.014-05:002020-12-04T19:54:01.748-05:00Debt Relief Options for Consumers<p><span style="font-family: arial;"> </span><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhV5-ZjBwJ3BkoRZUZUBjigYeILiJm5B_vZDzuXuoA-AIhq7HxMZjvrn4H_2ksg0AqKJSRxWLlk71ddM1BoCXf50cuyW2GCXDjhjXzbyoQ9RtNVfhPakl2pY5zlLTnsYPEdXtzHUBldnpo/s1122/Debt+Relief+Options+for+Consumers.jpg" style="margin-left: 1em; margin-right: 1em; text-align: center;"><img alt="Animated Image of Debt" border="0" data-original-height="812" data-original-width="1122" height="387" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhV5-ZjBwJ3BkoRZUZUBjigYeILiJm5B_vZDzuXuoA-AIhq7HxMZjvrn4H_2ksg0AqKJSRxWLlk71ddM1BoCXf50cuyW2GCXDjhjXzbyoQ9RtNVfhPakl2pY5zlLTnsYPEdXtzHUBldnpo/w533-h387/Debt+Relief+Options+for+Consumers.jpg" title="Debt Cartoon Image" width="533" /></a></p><h2 style="margin: 0px; padding: 0px 0px 15px; text-align: left;"><span style="color: #3c3c3c; font-family: helvetica; font-size: large;"><div style="margin: 0px; padding: 0px 0px 15px; text-align: left;"><h2 style="text-align: left;">Credit Counseling vs. Debt Relief</h2></div></span></h2><div><span style="color: #3c3c3c; font-family: arial;"><div><span style="color: #3c3c3c; font-family: arial;"><span style="font-size: medium;">Credit counseling is a good alternative to filing</span></span><span style="font-size: medium;"><span style="color: #3c3c3c; font-family: arial;"> </span><span style="color: #3c3c3c; font-family: arial;">bankruptcy. It's designed to help </span><span style="color: #3c3c3c; font-family: arial;">consumers experiencing financial difficulties, and are unable to make their minimum payments.</span></span></div></span></div><div><span style="color: #3c3c3c; font-family: arial; font-size: medium;"><br /></span></div><div><span style="font-size: medium;"><span style="color: #3c3c3c; font-family: arial;">Debt Consolidation</span><span style="color: #3c3c3c; font-family: arial;"> </span><span style="color: #3c3c3c; font-family: arial;">is also a better alternative vs. bankruptcy. In this scenario you, or a third party re-negotiates your interest rates and monthly payments based on your <a href="https://www.1855jetdebt.com/improve-credit-score/" target="">credit score</a>, income, and budget.</span></span></div><div><span style="color: #3c3c3c; font-family: arial;"><span style="font-size: medium;"><br /></span></span></div><div><span style="color: #3c3c3c; font-family: arial;"><span style="font-size: medium;">Debt relief advisors provide credit counseling for multiple types of debt:</span></span></div><ul style="text-align: left;"><li><span style="font-family: arial; font-size: medium;">Credit card debt consolidation</span></li><li><span style="font-family: arial; font-size: medium;">Unsecured debt consolidation</span></li><li><span style="font-family: arial; font-size: medium;">Home <a href="https://www.mortgagewiki.org/how-much-home-can-i-afford/">mortgage</a> payment</span></li><li><span style="font-family: arial; font-size: medium;">Online credit counseling</span></li><li><span style="font-family: arial; font-size: medium;">Business debt consolidation</span></li></ul><div><span style="font-family: arial; font-size: medium;"><br /></span></div><div><span style="font-family: arial; font-size: medium;">A debt advisor will hopefully help you create a plan to become debt-free within five years.</span></div><div><span style="font-size: medium;"><br /></span></div><div><span style="font-size: medium;"><span style="color: #3c3c3c; font-family: arial;">Some consumers feel obligated to pay back the entire balance on unsecured debt (i.e. </span><a href="https://www.1855jetdebt.com/what-type-of-credit-card-should-i-get/" style="font-family: arial;">credit cards</a><span style="color: #3c3c3c; font-family: arial;">) even when under the most extreme crises. If you’re one of those people and want help regaining control over your finances, an </span><strong style="color: #3c3c3c; font-family: arial;">unsecured debt consolidation</strong><span style="color: #3c3c3c; font-family: arial;"> may just give you the peace-of-mind you’re searching for.</span></span></div><p style="color: #3c3c3c; margin: 0px; padding: 0px 0px 12px;"></p><h2 style="text-align: left;"><span style="font-family: arial;">Consumer Credit Counseling</span></h2><span style="font-family: arial;"><br /><span style="font-size: medium;">Consumer Credit Counseling organizations act as an intermediary between you and your creditors. However, <a href="https://www.1855jetdebt.com/best-ways-to-consolidate-credit-card-debt/">debt consolidation</a> only reduces the interest rates and fees on your debts, not the balance themselves.</span></span><p></p><p style="color: #3c3c3c; margin: 0px; padding: 0px 0px 12px;"><span style="font-family: arial; font-size: medium;">By reducing these fees and interest rates, getting out of debt is possible in about 4-5 years. However, you will end up paying the full amount plus and possibly some interest.</span></p><p style="color: #3c3c3c; margin: 0px; padding: 0px 0px 12px;"><span style="font-family: arial; font-size: medium;"></span></p><blockquote><span style="font-family: arial; font-size: medium;"><i><strong>Debt consolidation </strong>usually requires a higher monthly payment, whereas with most Debt Negotiation programs it likely won't be the case. </i></span></blockquote><p></p><p style="color: #3c3c3c; margin: 0px; padding: 0px 0px 12px;"><span style="font-family: arial; font-size: medium;">When evaluating consumer credit counseling organizations, check to see if the organization is a for–profit or non-profit company.</span></p><p style="color: #3c3c3c; margin: 0px; padding: 0px 0px 12px;"><span style="font-family: arial; font-size: medium;">Non–profit credit counseling organizations are sometimes funded by the credit card companies that you're making payments to. This can create a conflict of interest, so make sure that the credit counseling organization is NOT collecting fees from both you and your creditors.<br /> <br />Debt Consolidation is a good option for some people, particularly those who can afford a higher monthly payment.</span></p><p style="color: #3c3c3c; margin: 0px; padding: 0px 0px 12px;"><span></span></p><a name='more'></a><span style="font-family: arial; font-size: medium;"><br /></span><p></p><p style="color: #3c3c3c; margin: 0px; padding: 0px 0px 12px;"><span style="font-family: arial; font-size: medium;">Read how <a href="https://www.1855jetdebt.com/debt-parking/">debt parking</a> effects your credit score.</span></p>Evergreen Financehttp://www.blogger.com/profile/06840430228368372171noreply@blogger.com0Brooklyn, NY, USA40.6781784 -73.9441579-38.624894055811062 145.43084210000004 90 66.680842099999978