Maintain your old Siemens Hipath system

Debt Settlement

What is debt settlement?

Debt Settlement is a process to settle your debts with the creditors. With debt settlement, a third party or you yourself negotiate with your creditors to come up with a reduced debt that you agree to pay. The reduction is usually between 30-60% of the total original debt amount.

Attributes of Debt Settlement:

Debt Settlement programs gives you a lot of options to clean your debts. It reduces your principal debt amount, eliminates your late fees, lowers your APR, and provides you the flexibility to repay your debts within your chosen time span.

  • Principal debt amount: Most debt settlement firms negotiate with your creditors and reduce the principal debt amount you owe. For example, in maximum cases 40-60% of the original debt amount is reduced.
  • Late fee charges: Some debt settlement firms waive off your entire late fee charges. It is sometimes seen that late fee charges club to form a major portion of your debt amount. Thus elimination of late fees can save hundred of dollars.
  • APR: Some debt settlement programs are done to reduce the high APR's for a particular account. For example, some debt settlement company may notify that APR has been reduced to 8% for the proposals accepted after 10th September 2004 and reduced to 0% for all proposals accepted before 10th September 2004.
  • Monthly installments: Debt settlement programs are also determined on the amount you pay on monthly installments. In this process you have to pay a single monthly amount to a debt settlement firm in order to settle your debts. The more you can pay the lesser period of time you take to settle your debt. The amount of your monthly installment is fixed by the debt settlement company based on your present financial status.
  • Annual time frame: Debt settlement is also chalked out on the basis of extended time periods. In such cases you have the provision to extend your time period from 2 years to 4 years or sometimes even longer. This is helpful for people who cannot afford to pay at one go.
  • How long does a debt settlement process take?

    A normal credit card debt settlement case might take 3-9 months. If someone wanted to speed up the progress it could be shortened to 1-3 months. Someone wishing to stretch things out could find the time extended to 12-18 months. Some special debt management and debt reduction firms can even lengthen the process to 4 years or more.

    How much do these firms usually charge?

    Most debt settlement companies are transparent about their fee structure but you are advised to check out if there are any hidden fees involved in the settlement process. On an average the charge of debt reduction firms range from 8%-15% of the total outstanding debt.

    The advantages of debt settlement:

  • Debt Settlement is one of the quickest and best ways to improve your Credit Report.
  • Avoid being harassed by the abusive creditors.
  • Many collection agencies will settle a debt between 40%-60% of the original debt amount. In this process you can save thousands of dollars. You will only have to make a single payment every month.
  • With debt settlement your time will be saved and your debts will be eliminated within 2 to 4 years. It is also less likely that you will have to fight the creditor later to actually delete the negative listing.
  • The disadvantages of debt settlement:

  • Your credit will be affected in a negative manner. This will be reflected on your credit report for the next 7-10 years. However, despite this fact consumers still opt for debt settlement and avoid bankruptcy.
  • There is a probability that creditors will continue to harass you throughout the process of negotiations and may even sue you or garnish your wage. However, only one creditor may garnish you at a time, and in some states, you may not be garnished at all. ยข Some debt settlement companies will only accept you, if you have $10,000 or more in credit.
  • 7 attorney tips for debt settlement:

  • Be honest but represent your financial position to be unfavorable.
  • If considering bankruptcy, say so. But do not incur any other debt after saying so.
  • Never disclose where you work or bank.
  • Don't hire a lawyer if you are not sure that you are in good standing when compared to your creditor.
  • If you are contacted more than one creditor for the same debt, be sure that your account is sold off to a second creditor. This indicates that you have avoided the first creditor really well.
  • If the creditor agrees to settle for full then make sure that your account status also shows "satisfied in full".
  • There are high chances that you may have income tax on the debt owed after settlement. The creditor might send you a 1099-C at the end of the financial year. You are then required to report the amount listed in the 1099-C as income.
  • Janet Williams is a contributing writer to http://www.debtconsolidationcare.com/ and is currently working on a special section in the site called do it yourself where you can eliminate your debts and become debt free.

    You can get more resources from these pages:

    http://www.debtconsolidationcare.com/ debt-solution.html
    http://www.debtconsolidationcare.com/debt -free.html

    In The News:

    Jeers for ex-officials at Genoa bridge state funeral
    Sat, 18 Aug 2018 12:49:00 +0100
    Members of Italy's former government were jeered by the families of victims of the Genoa bridge collapse as four more bodies were found on Saturday.

    Genoa bridge to be 'rebuilt in just eight months'
    Sat, 18 Aug 2018 16:16:00 +0100
    The collapsed Genoa bridge that left 43 people dead will take just eight months to rebuild, its operator has said.

    Kofi Annan dies: World mourns 'guiding force for good'
    Sat, 18 Aug 2018 10:33:00 +0100
    Former UN secretary-general Kofi Annan, a Nobel Peace Prize laureate, has died at age 80.

    Rescuers plead for help as thousands stranded in Kerala
    Sat, 18 Aug 2018 20:48:00 +0100
    Thousands of stranded people are awaiting rescue as monsoon floods continue to batter the Indian state of Kerala.

    Putin on the Ritz: Vlad dances at minister's wedding
    Sat, 18 Aug 2018 17:28:00 +0100
    Russian leader Vladimir Putin has shown off his fancy footwork as he limbered up for talks with German Chancellor Angela Merkel.



    tikatoshop.it

    Erfahrungen mit Pallhuber Wein
    Agen Bola SBOBET Terpercaya

    Travel in comfort and at your leisure with CT Airlink Limousine & Car Service for top quality private transportation and exceptional customer service. We operate Sedans, SUVs & Vans for CT Car Services to covering all Connecticut airports including Car Service from CT to Newark Airport , Mohegan Casino Uncasville CT, Foxwoods Casino Mashantucket CT, Manhattan Cruise Terminal NYC, Brooklyn Cruise Terminal NYC and Bayonne Cruise Terminal NJ. CT Airlink hire licensed and friendly chauffeurs who have in-depth knowledge of the Areas.

    Debt Elimination

    If you're reading this article right now I'm sure that... Read More

    5 Methods Toward Reducing Your Debt

    Decreasing your debt is paramount to having a good credit... Read More

    How to Deal with Bill Collectors

    So you've screwed up. You're drowning in debt. Maybe the... Read More

    Bankruptcy - Is It The Right Choice For You?

    Bankruptcy is one of the tougher choices we as adults... Read More

    Is There A Way Out Of Your Debt Problems?

    Do you have multiple debts? Do you have just one... Read More

    How Do I Lower My Debt Burdens?

    How do I lower my debts?There are several ways of... Read More

    Are You SURE Your A Bad Debt?

    Many people who seek the advice and guidance of debt... Read More

    What is Bankruptcy?

    Personal bankruptcy is a legal way to give people with... Read More

    Dealing with Thingitis

    Debt is quickly becoming an epidemic in America. However, through... Read More

    Tips For Saving Money

    Still living from pay to pay? Or envying those great... Read More

    Personal Bankruptcy: Last Option To Legally Stop Bill Collectors

    Do you have stacks of unpaid bills?Are you in debt?Are... Read More

    Bankruptcy As An Option

    If your financial worries are preventing you from sleeping at... Read More

    How to Get Triple A Credit in 25 Days

    Good credit is everyone's dream. A wise use of credit... Read More

    New Bankruptcy Law ? Where?s the Consumer Protection?

    On April 20, 2005, President Bush signed into law the... Read More

    Debt Elimination 2

    The First Step To Debt EliminationRegardless of your personal and... Read More

    Assess Your Financial Attitude and Eliminate Your Debt Forever

    Want to know if your attitude towards your finances is... Read More

    Free Quick and Easy Money Saving Tips ? Part 1

    With the high cost of gasoline and the amount of... Read More

    Credit Card Debt & the Unfairness of the Universal Default Clause

    Let's look at a real world example: A woman purchased... Read More

    Taking The Plunge Into Bankruptcy

    Bankruptcy is one of the most difficult things a person... Read More

    Credit Repair - Understanding The Basics

    What is Credit?Credit means that you are using someone else's... Read More

    Whatever You Do....Dont Save Money!

    No, that's not a misprint. Even though falling interest rates... Read More

    Tips To Take Control Of Debt Collection

    Yes, debt collection tips can help. You may think you... Read More

    How to Choose a Debt Settlement Company

    As consumer debt continues to spiral out of control, debt... Read More

    How to Become Debt Free

    In today's consumer society it is all too easy to... Read More

    Debt Elimination Is The Key to Financial Freedom

    If you want financial freedom, the first thing that you... Read More