Wednesday, December 13, 2017

Financial Failure? How to Find Relief From All Your Debt

Financial ruin is probably one of the lowest points in your life. You may not feel like you will ever by able to get out from under this burden. Here are some things to consider if you have reached this financial tipping point.

Consult on Debt Management

There are agencies available that can help you to look into your options for debt relief. Some of these agencies will even negotiate with your creditors for you. 

The downside to using one of these agencies is that there might be fees associated with their assistance. Weigh the benefits of this assistance with the additional costs. It may not be in your best interest to use one of these agencies. 

Before you decide to go this route, make sure that the agency you are considering is reputable. You don’t want to find out that they aren’t really helping you.

Settle Your Debt

You may be able to make the case yourself to your creditors that you can’t pay them back. Creditors are generally more open to settling debt with you if you have a debt management plan in place. 

They don’t want you to declare bankruptcy. If you do declare, they won’t receive their money. By agreeing to set up a payment plan that is reasonable with you, they will eventually get their money back. 

This only works is you are actually able to pay them back. Make sure the plan you have in place is doable. You may just end up back where you started if you can’t afford to make the payments

Look Into Debt Consolidation

You may be able to consolidate your debt into a single loan. This would enable you to have one set payment each month to start the debt relief process. These types of loans are typically personal loans

You would need to make sure that the amount you are borrowing will pay off your other loans in full. Take into consideration the interest rate on this new loan. You don’t want it to be higher than your other types of loans. 

This will only cause you to lose more ground. This solution may be able to get you out from under your financial burden.

Consider Benefits of Bankruptcy

Bankruptcy should be a last resort. This is an option when you will not be able to pay back your debt at all. The downside to filing for bankruptcy is that your credit will be ruined for several years. 

You will have to rebuild your credit once the timeframe has passed. Consult with a bankruptcy lawyer, like those from the Law Office of Barbara B. Braziel, in order to navigate this process. A lawyer will be able to help you eliminate that debt in the most efficient manner possible. 

They will also be able to advise you on the type of bankruptcy to file depending on your financial situation.

Financial hardships can be managed with a little planning. Use these steps to find relief from your debt.

No comments:

Post a Comment

Join 1000's of People Following 50 Plus Finance
Real Time Web Analytics