Debt Free Destiny - Debt Relief Options

Of course - the best option is to make a ton more money and pay off everything, then wait for your credit to clear up. But for most of us, that's impossible. Generally, there are about 4 real options. The fact that you are reading this is a good indicator that you are ready to take action to solve your problem.

Once you realize you are in trouble, it's important to act quickly.
The best options are available to those do not wait.

While no solution is without some pain, each has it's own pros and cons. The following is a brief overview of the main choices:

This is probably the most common choice. You can obtain a debt consolidation loan from a huge selection of companies, but you most likely will have to own a home. (Unless you have some other large piece of valuable property) You essentially are lumping all your loans (credit cards) into one big one.

The sticky spots here are several: Do you have enough equity in your home to cover your outstanding debt? And will your existing credit score allow you to qualify for a good rate? And are you willing to put your home on the line if you can't keep the minimum payments? These are just a few of the more pressing questions.

Another factor to consider: You will still owe every penny of your debt. Debt Consolidation loans tend to mask the real issue that causes debt and gives the borrower a false sense of security. Then it becomes easy to be overextended again and end up in an even more dangerous predicament. Remember, you can't borrow your way out of debt.

This is similar to a debt consolidation, but instead you make payments to a nonprofit Credit Counseling Agency, who pays your creditors on your behalf. Unknown to most people, these agencies are usually supported at least in part by the credit card companies. In general, they are mainly concerned about keep you afloat so you can continue to make monthly payments.

Going through a credit counseling agency will generally reduce your interest rates and monthly payments, stop the majority of late and over-the-limit fees and they will work with the credit reporting agencies to limit negative marks on your credit file. Unfortunately, you are still obligated to pay back the full balance of the loan. You are still looking at years of loan payments before you are out of debt.

This is the last resort. It's usually the only choice for people who've waited too long to deal with their debt problems or happen to come upon such a severe financial condition that is impossible to recover from through normal repayment. In general, people facing bankruptcy have accounts that are already with collection agencies or in the courts, or have property is being foreclosed.

Bankruptcy is also a matter of public record. Anyone who wants to find out about you can see that you've filed for bankruptcy. So much for your privacy. (and how embarrassing!) The black mark of bankruptcy can also stay on your credit report for up to 10 years.

**NEW** Bankruptcy laws as we know them have changed drastically. A new federal law, called the Bankruptcy Abuse Prevention and Consumer Protection Act , will go into effect in October 2005 and will put some serious limits on who can declare and how much debt they can get out of. In other words, bankruptcy will be not an option anymore for many people.

This method involves your creditors actually forgiving a portion of your debt if you can pay the remaining balance. Most creditors will are willing to accept less than full balance on outstanding unsecured debts that you can't pay. You work with a debt settlement company to negotiate settlements for less than full balance on your past due accounts. The satisfying thing is that you know that they are on your side and have only your best interests in mind. Follow this link to learn a bunch more about debt settlement and how it can free you up financially!

The right choice for you will completely depend on your financial situation and your comfort level and I'm confident that one of these choices will be an ideal fit for your unique set of circumstances, but...

My Experience with Debt Settlement

I can tell you that choosing a debt settlement program was by far the best thing that I have done to improve my life.

It literally saved me tens of thousands of dollars and gave me a huge boost financially.

I never would be in the position I am right now with out using a debt settlement company.

Click here to see how debt settlement can help you lose thousands in debt!

Although it may be confusing to understand all your options, we try to present our experience as well as all the possible options here at debt-free-destiny.com so that you can make an informed decision.

After doing your research, the next thing to do is to get a free consultation and talk to an expert who can take the specifics of your situation and recommend a solution for you. There is never any obligation, and the advice you get is free. We recommend several companies who can give you this advice and remember, you need to be informed to make an intelligent choice.

How Debt Settlement can save you thousands
Learn more about the benefits of debt settlement, how it works, and how it may help you avoid bankruptcy and get out of debt, as well as reducing your stress level!

Why I Chose Debt Settlement
These are the reasons that it was my choice to kick off my journey out of debt.

My Settlements
Look here to see how much I saved by avoiding bankruptcy and using debt settlement.

Credit Counseling - How Can it Help Me?
It can help save you from bankruptcy, but what are it's real advantages and disadvantages? Get all the facts here.

Debt Consolidation
Learn the benefits and drawbacks of the most popular form of debt management and debt relief out there.

Debt Consolidation Loans
Depending on the type of debt you have, there can be many choices out there that will help solve your debt problems. Learn about the most common types of debt consolidation loans here.

The Debt Snowball Method
Get rid of all your debt - including your mortgage in record time using the money you currently earn! It's possible to create an avalanche of debt relief!

Bankruptcy Facts
Find out about bankruptcy, common types, and it's impact on your finances and your life.

Buried in debt? Struggling with credit card payments?

Let's look at debt relief options.

Click here to see how debt settlement can help you lose thousands in debt!