Are You Burdened By Too Much Credit Card Debt - Consider Your Debt Relief Options

May 10, 2010 - PRLog -- Are you burdened by too much unsecured debt? It is quite natural because the lifestyle of the Americans has created a big problem. The Americans spend more than they earn and for this, they rely on credit cards and other forms of unsecured debt. Now when the US economy has been hit by recession, thousands of people have lost their jobs and are unable to repay the creditors. It is because of this that they are becoming defaulters and are finally filing for bankruptcy which is causing a lot of problem for the consumers in the near future.

The consumers are actually losing their credibility and are unable to get any further loan for a period of at least 7 to 10 years. The report of bankruptcy filing shows up on the credit history for that period of time and none of the creditors agree to forward credit to the consumer because the credit score goes down.

This however can be avoided if the consumers consider the other debt relief options. The best thing that a consumer can do (if the overall unsecured debt is over $10,000) is to go for debt settlement. It is better that the consumer hires a professional debt settlement company. It is because of the fact that a professional company has a complete understanding of the banking system and it can professionally deal with the creditor. Once the person hires a professional company, the negotiator from the company will advice the consumer to go delinquent and stop paying the creditor.

Once the consumer does so, the creditor will wait for a period of 90 days to 120 days and then sell off the debt to a collection agency for as low as 20 to 30 cents on the dollar. It is then that the professional negotiator contacts the creditor and offers a deal of 40 cents on the dollar which is 100% of ROI for the collection agency and also 60% savings for the consumer.

So, if your burdened with too much of unsecured debt, it is better that you consider your alternate debt relief options and avoid bankruptcy.

If you have over $10,000 in unsecured debt it may be a wise financial decision to consider a debt settlement. Due to the recession and overwhelming amount of people in debt, creditors are having no choice but to agree to debt settlement deals. To find legitimate debt reduction help in your state and get free debt advice then check out the following link.

http://www.freedebtsettlementsolutions.com

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FreeDebtSettlementSolutions is a matchmaker in the debt settlement industry. They have paired up thousands of consumers up with debt settlement companies who are most likely to get consumers the best deal.

http://www.freedebtsettlementsolutions.com