Debt Relief Can Help You Out
Hassle Free Process
We provide hassle free and quick application process so you can get out of debt within 12-36 months. End the vicious cycle of credit card debt today! Take 60 seconds to fill out the contact form and see how easily we can settle your debt.
Debt Free Life Style
Our priority is to substantially reduce our client’s debt and to assist them in regaining control of their life. Our company outshines others because our exceptional performance and our promise to quality service.
Federal Debt Reliefs provides 100% hassle free debt consultation by conducting a deep and thorough analysis of your debt situation. Our counselors work on each case individually to create an action of plan in order to eliminate debt.
Welcome To Federal Debt Reliefs
Debt consolidation is the best way for people who are heavily in debt to begin to pay down what they owe and get their finances back in order. Many people end up owing a lot of money to many different creditors, and it can seem as if paying off that debt is impossible. Every month the interest continues to pile up, and many people make only the minimum payments on what they owe.
These minimum payments usually cover the interest, but little if any goes to the principle balance that they owe on. That means each month when you make a payment you aren’t making any progress at all in actually paying your debt off. In other words you are simply paying money out each month and you aren’t making any headway. If this is the situation you are in then you may as well be throwing money away, because that is essentially what you are doing.
Instead of continuing on this path where you will never pay your debts off you should look into the different debt consolidation options that are out there that can help you.
Being In Debt Is Extremely Stressful
When you owe a lot of money to different creditors, it can feel like the weight of the world is on your back. You get phone calls, and emails, and letters all the time reminding you just how bad your financial situation is. It gets even worse if you can’t keep up with your payments. Then suddenly your creditors will become more aggressive in their attempt to collect the money you owe them.
When many people get to this point they kind of shut down mentally and start trying to ignore the problem. Unfortunately, ignoring the problem won’t make it go away, in fact, it will only make things worse. Before you know it you may end up having your paycheck garnished, your assets seized, and even any tax returns you should be counting on to be taken away.
What you need to do if you are in heavy debt is to avoid getting to this point by taking action now. By taking advantage of a debt consolidation program you can take control of the situation and keep your debt from ruining your life.
The Problem With Trying To Manage A Lot Of Debt
When you owe money to many different creditors, which is quite common, trying to keep up with all of the monthly payments can be extremely challenging. If you miss a payment, or are late you will usually end up being penalized. In the case of credit card debt they may even penalize you by raising your interest rate! That means that your payments are already hard enough to keep up on will only get higher.
Instead of trying to make a bunch of payments to different creditors each month the far more intelligent approach is to use debt consolidation. Then you can combine all of the money you owe in one lump sum, and make payments to one creditor instead of many. This is not only much easier to keep track of, it’s also usually far less expensive since the one payment you make will generally be lower than the total you used to pay each month.
Why Bankruptcy Should Be Your Absolute Last Resort
Many people that are in heavy debt often look at bankruptcy as a type of get out of jail free card. It seems like the easy way out, but there are a lot of negative consequences associated with filing bankruptcy that can impact you for many years.
Did you know that when you file bankruptcy you may be forced to forfeit some of your assets? Did you also know that filing bankruptcy will destroy your credit score to such a degree that any loans you get for the next several years will come with a huge interest rate? A bankruptcy stays on your credit report for around 7 years, that’s 7 years of your life where you will be forced to take out loans and credit cards that have very high interest rates.
While owing a lot of money is damaging to your credit, if you can pay down what you owe your credit score can rebound fairly quickly. That’s a far better option in most cases than having to wait 7 years to have your credit score recover.
Types Of Debt Consolidation Options
One option you may want to consider consolidating your debt is to get a debt consolidation loan. A debt consolidation loan is a loan you take out that you use to pay off the money you owe to other creditors. Once they are paid off you will only have one monthly payment to make each month instead of trying to juggle many different payments.
Since you can often get a more favorable interest rate on a debt consolidation loan than you can with other types of debt, you should be able to shave some money off of what you pay each month. This can give you some more financial breathing room and make your life much easier.
Not only will you have a little extra cash each month, but the stress of trying to manage all of those payments will be gone as well. One thing to keep in mind when using this type of debt consolidation, or any other type of loan, is that it is essential that you keep up with your payments since failing to do so will end up with causing disastrous financial consequences.
Another option for debt consolidation is to use a credit card that offers a zero percent APR for balance transfers for a short period of time. Using this method to pay off your debt can actually be very beneficial since it will allow you to avoid having your debt continue to grow since interest won’t continue to add to the problem. The key to using a zero percent introductory APR for balance transfers is to aggressively pay down your debt during the period of time when you have zero percent interest.
Once the introductory period for zero percent interest is over you can repeat the process by getting another credit card that offers the same type of interest free period.