One sign that a debt consolidation company is reputable is whether or not they are a member of an organization, like the National Foundation for Credit Counseling. Even if the company verbally confirms to you that they are a member, make sure you still research it to make sure what they are saying is true. A member of an organization like the NFCC has to follow certain rules, like only employing certified credit counselors.
Use bankruptcy as a negotiation tool. Creditors would rather get some of their money back than get nothing at all. Let them know that if your debt cannot be reduced, you will probably be forced to file bankruptcy. This can spur the creditor to resort to a more satisfactory compromise that reduces the debt owed.
Take a long term approach when selecting a debt consolidation company Of course you want your immediate debts to be satisfied, but in the end. you want a company that can manage the entire process until you're completely out of debt. You want a company that also offers financial education to help steer you away from this bad debt situations in the future.
No comments:
Post a Comment