Do It Yourself
You have two options when it comes to tackling your debt alone; pay more than your monthly minimum payments or got to battle with your creditors on your own. If you’re already struggling to just pay the minimum payments as it is, then the first option is not an option for you. As for the second option, success is not guaranteed since you have already proven that you cannot manage your finances.
Your first step would be to identify exactly how much you owe, who you owe it to and how much you have each month to put towards them. The next step would be to reach out to your creditors and start explaining your situation and why you haven’t been able to pay them according to the terms set forth. Be prepared to submit documentation to validate your claims of hardship. If they accept the reason as a valid hardship, you can then discuss what options can be arranged. If you can successfully accomplish this on your own, you could save the costs associated with hiring somebody to help you out.
Keep in mind once your debts are turned over to a collection agency that they’re sole mission is to get you to repay as much of your debt as you can. Collection companies are paid commissions (usually about 30%) on the amounts they COLLECT from borrowers.
Negotiating with your creditors may seem like a great idea, but the truth is most Americans are unable to do this successfully because they don’t know what to do. Therefore, placing these tasks in the hands of a professional who knows the system inside and out typically gets the best results.
Give Square One Financial Group a call today at (888) xxx-xxxx to get a free evaluation of your debt options. The more educated you are on your options, the better! We’re here to help you get your finances on track.
No costs for assistance
Required strict budgeting
Large amounts of time and stress
No reduction of debt is paying in full