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Can debt consolidation help? When you look at the dire state of some people's personal finances, it is utterly amazing to note that they are apparently living in a state of total denial about the mess things are in. It is sometimes difficult to look at one's finances objectively, especially when you know they are working hard, and perhaps not even trying to lead the typical champagne lifestyle on a beer budget. There are many reasons that a person finds themselves in this situation, and it rarely comes as a shock to them, since they usually know it long before it reaches critical mass. The biggest problem is that they have done nothing about it up to this point, and now all hell is ready to break loose. Interestingly enough, studies have shown that people who find themselves in a dire state of financial affairs are rarely due to financial mismanagement. Sometimes yes it is incredible and gross financial mismanagement, but typically the reason is due to some set of circumstances out of their control, such as a divorce, a layoff from their job, some huge unexpected medical bill, or something like that. People in this situation are looking for a solution. They may have known that a real solution was needed for quite some time, but were only able to admit it to themselves when things got really bad financially. Maybe they were hoping that something would happen to fix the situation, like that big contract with a new customer, that raise that they hoped they would, or the classic, having the winning lotto ticket. Action is required, and it is required NOW, not after next week's lotto drawing. So what are your options? You need some type of consolidation whether it is credit, credit cards, student loans, college loans, etc. You could look at a personal loan, but that is really only going to delay the inevitable, and when the inevitable comes, they are going to be in even worse shape financially because now they have yet another debt obligation to deal with. You could consider bankruptcy, which many people do, but that is a drastic measure, and studies have shown that it is a measure that people try to take too frequently, and which has long term negative impacts in many areas, including a huge blemish on your credit reports from the credit reporting agencies for the next 7 to 10 years. And with the new bankruptcy laws, you now need to get approved to file bankruptcy, so there is not even a guarantee that that would be a solution for you. You need to consider debt consolidation. It will do more for you than yet another personal loan and it is not as drastic a step as bankruptcy. What happens is that you meet with a counselor from a debt consolidation service company who will go over your total debts in detail, then will work out a budget for you to follow. But there is much more to it than that, since so far that only describes a credit counseling agency. They then take your debts and you pay them each month. This is different from a loan, because they do not pay off your debts all at once, but rather they make regular payments to each and every one of your creditors based on the payment you make to them, where you have worked out a mutually agreeable figure with them. How this works is that they negotiate with your creditors to get your monthly payment lowered, your interest rate lowered, and sometimes are even able to get late fees, past due fees, and overlimit fees waived. Where this is a benefit to you is that say you were paying out $2000 a month previously, but after signing up with the debt consolidation services company, your monthly payment now might only be $1200 a month. This gives you the financial breathing room you need right now so that you can start making some headway towards getting them paid off and not being hassled by them every month. Consider debt consolidation to help with your financial situation. It has worked for hundreds of thousands of people and has given them a new financial life without going deeper into debt in the process. For more insights and additional information about Debt Consolidation Credit Consolidation as well as getting a free quote for debt consolidation services, please visit our web site at http://www.debtconsolidationstrategies.com
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debt consolidation, credit card consolidation, credit consolidation, student loan consolidation,
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