Tip No : Check The Bbb
All debt relief companies should be rated by the Better Business Bureau. You want a company thats rated by the BBB, preferably with an A or A+ rating thats been maintained for several years.
When you visit a companys BBB page to check their rating, dont just check the letter grade. See how many complaints they have and how those complaints were handled. Keep in mind that any business is almost certain to have at least one or two bad customer experiences. But its how they handle those experiences that matter. You want to know if things go wrong, you want a company that will do everything they can do to make it right.
Also, check to make sure the company is not tied to any organization thats the subject of a class-action lawsuit by a state Attorney Generals office. Class action lawsuits are a bad sign.
Public Service Loan Forgiveness
If youre a nurse or EMT that works for a public hospital, or a firefighter or first responder, you may be eligible for the Public Service Loan Forgiveness program . Those who work in an eligible field and make student loan payments for ten years can have their remaining student loan balance forgiven. Getting approved can be challenging but its certainly worth the hassle.
What About Government Approved Debt Programs
You may have also seen terms like government of Canada debt relief grants or free Canadian government grants to pay off debt. While these look appealing and might make you think there are some ways for you get a deal when dealing with your debt, sadly, this is not the case.
Any company, individual, service, or program that claims they are government approved is often embellishing their reputation or simply misleading you. As was mentioned earlier, the government doesnt offer any debt relief services and doesnt publicly approve or endorse any either.
What these companies often mean by claiming to be government approved is that they have obtained a license from the government or that they are offering a consumer proposal, which is defined within the Bankruptcy and Insolvency Act.
So while many of these services are regulated or licensed by the government, it doesnt mean that they are approved by them. Simply put, companies will use those buzz words as a way to make their option seem like the more official, prestigious, and best one for people who are struggling with debt.
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Rental And Debt Grants Available Online
One of the questions many of us are asking is why do we have to suffer for the crookedness and greed of big business! Why are my credit card rates escalating in this time of recession? How can I keep my apartment when I can no longer afford to pay the rent? How can I possibly get out from under this sea of debt that I have accumulated?
First and foremost, stop blaming yourself for the predicament that youre in. No one is telling you that it will be easy to get out from underneath your debt, or that it will be easy for you to find a way to pay for your rent when you have family members who need to eat and child care to pay for. However, if you take a deep breath and read the following, you may decide to take the first step toward helping yourself, with professional and timely assistance afforded to you by Government Grants.us to apply for personal grants.
With regard to a rent assistance program, there are government grants that are available in a number of forms to help you through this crisis. There is a government grant offered through the U.S. Department of Housing and Urban Development for professional counseling regarding your present rent and/or debt situation. There is another government grant in the form of a rent assistance program for Section 8 renters who are experiencing difficulties in managing to pay their rent.
Dont muddle any longer in the muck and mire of overdue rent and burdensome debt. Apply for a grant NOW, and youll change your life forever!
The Risks Of Consolidating
Getting a new loan or varying an existing loan to pay out a number of other loans comes with some risk. Some of the key ones are listed below.
Longer to pay off
The main downside of a consolidated loan is that it usually takes much longer to repay and that means it may cost more in the long run.
Fees, charges and interest rates
Make sure that you check the fees, charges and interest rate of the new loan it may work out more expensive in the long run than if you just kept paying off your multiple debts.
Unsecured into secured
Before you turn all your unsecured debts into a secured debt, remember that the asset given as security will be on the line if things go wrong. You may also be turning short-term debt into long-term debt. If your home is jointly owned with someone else, you may have to pay the debt if they cant.
Single borrower debt to joint debt
Take care and make sure you do not take on your partners debts in a debt consolidation. Where there is a joint debt, you may end up repaying the debt in full.
Only one lender to negotiate with
When you consolidate into one loan you will have only one lender. If you get into financial difficulty again, you can only negotiate with them.
Government backed schemes
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Government Grants For Dependent Expenses
There are lots of works and responsibilities that a person has to handle in their house. But because of their low income, they cant able to handle all the expenses and one and more important thing is the child care for them. Also, the government gives priority to child care and makes sure that they will able to handle these essential duties. Because several families did not have any income source or homeless and because of this they are unable to take care of their child. They also dont afford to fulfill their basic needs because of their low income.
These are the families which are not able to handle the expense of anyone extra thing even it is cheap. Thats why with the grants and schemes these families will get extra assistance with the financial help, so they can get out to pay off debt. For this, many states have the authority that they can provide specific help to those families. With their grant and scheme, they help them to pay off a debt to those people who need it. So, with the use of the grant, they can support their child and also care for them.
Now, you see that there are different classes for the grants and one can take advantage of those grants. But only on one condition that they will be eligible for the grant. And for this, they have to first check the eligibility criteria, and then they have to move their step forward in the direction of applying for the grant.
A Few Debt Relief Options You Want To Avoid
The three options outlined above are not the only options that consumers can use. There are other ways to find debt relief we just dont recommend them. At Consolidated Credit, we promote a do no harm strategy when it comes to debt relief. In other words, your debt solution should not put you in a worse position than when you started.
Each of the solutions above when used correctly can eliminate your debt without causing credit damage or making your financial situation worse. Other solutions can decrease your credit score or negatively impact your long-term financial plan.
For instance, you can:
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Looking For Government Debt Relief Programs Try These 8 Places Instead
Last updated Nov. 17, 2022| By Kat Tretina
FinanceBuzz is reader-supported. We may receive compensation from the products and services mentioned in this story, but the opinions are the author’s own. Compensation may impact where offers appear. We have not included all available products or offers. Learn more about how we make money and our editorial policies.
When youre drowning in debt, it can feel like theres no way out. According to a 2018 study conducted by Northwestern Mutual, the average U.S. adult has more than $38,000 in personal debt, not including a mortgage. With that much debt and potentially high interest rates on loans and credit cards, your balances can grow over time, and make them difficult to pay it off.
If youre struggling with how to pay off debt from loans and credit cards, you may be curious about government debt relief programs. Unfortunately, the U.S. federal government doesnt offer any programs on its own. Thankfully, there are other strategies and programs you can use to manage your debt.
Debt And Grants Due To Education
Many of the families are not able to manage the basic needs of their family and thats why for them it is very tough to handle the expenses of their childs education. And when this type of situation has come in front of them, they do not need to worry. Because the government has countless grants for debts schemes. And those schemes can help the people to put their children in school and college for their further education.
But these scheme-related grants have one drawback. The drawback is that a student has to take a loan for their study and in the future, he or she has to pay the loan. If they do this then they can able to get the grant under the schemes to pay off debt.
It comes where many of the private programs and schemes support the families who are unable to afford the cost of the education. These valuable assistance grants are provided to them, so their children will get a proper education. These schemes provide scholarships and these are given to those children or students who need them and also who is deserves them. Because many of the students need the opportunity to show their talent and with this, they can fulfill their dreams and chase them.
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Weve Transformed The Lives Of Hundreds Of Thousands Of People
From the first call, National Debt Relief wanted to help me and showed me how I can be successful and get debt free without being judged.
The anxiety is gone, I am credit card debt-free. And that right there, I never thought I would be able to say those words, and it just feels so good.
Youre going to feel like a new person, when youre in debt its like its always raining on you, then you go outside, its like the sun is shining on you.
Can I Enroll In Debt Consolidation Programs Online
Enrolling online may actually be the easiest way to take advantage of a debt consolidation program. First, youll authorize the agency to access a list of your debts and payment information. Then, youll gather and provide information about your income and expenses, and answer questions about your goals and timelines to be debt free. If you qualify, youll be approved.
Also Check: Annual Free Credit Report Government
Pros Of Debt Consolidation Programs
- These programs are not a loan, so your credit score doesnt factor into your qualifications.
- Reduced interest rates can help lower monthly payments.
- Making payments on time can help improve your credit score.
- A credit counselor can help you develop a monthly budget.
- Education programs can help you set financial goals and make a plan for staying out of debt.
Tip No : Make Sure The Company Is Accredited
Oftentimes, debt relief providers are accredited by a trade association or approved by a government agency. Both are good signs that a company is reputable.
Trade associations are business cooperatives within a certain industry. A business must maintain a high ethical standard to be a member of the association. Credit counseling agencies may belong to the National Foundation for Credit Counseling or the Association of Certified Debt Management Professionals. Debt settlement companies have the American Fair Credit Council. These associations mean that the company must live up to a minimum ethical standard. You can have peace of mind that the company will provide the service that they claim.
Government approval is also a good indicator of a reputable company. For instance, if you need mortgage debt relief, find a HUD-approved housing counseling agency. HUD approval means that the housing counselors get special training and must adhere to certain standards.
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Trouble Paying Your Bills
Steps to take if you are having trouble paying your bills:
If you are still having trouble after attempting these steps, another option is to contact a credit counseling services to create a debt repayment plan. In these plans, you work out a payment agreement with a counselor, and the service distributes your payments.
Other methods of dealing with debt include consolidating debt through loans and bankruptcy. These are steps with serious consequences, and should be taken only after consulting an attorney.
Does Consolidated Credit Adhere To These Guidelines
Yes. Consolidated Credit is a registered 5013 nonprofit organization. We are nationally accredited through the Financial Counseling Association of America . We are also approved by the Department of Justice to provide pre-bankruptcy counseling in our home state of Florida.
Connect with a certified credit counselor to get the help you need to get out of debt.
All articles and educational content on Consolidated Credit are written by and carefully reviewed by certified credit counselors, HUD-certified housing counselors and financial coaches.
Consolidated Credit follows strict sourcing guidelines and only links to reputable sources for information, such as government websites, credit bureaus, nonprofit organizations and reputable news outlets. We take every step possible to ensure all information comes solely from certified financial professionals.
If you feel that any of our content is inaccurate, out-of-date or otherwise questionable, please let us know through the feedback form on this page.
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National Debt Relief: 2022 Review
Hanneh Bareham specializes in everything related to student loans and helping you finance your next educational endeavor. She aims to help others reach their collegiate and financial goals through making student loans easier to understand.
Aylea Wilkins is an editor specializing in personal and home equity loans. She has previously worked for Bankrate editing content about auto, home and life insurance. She has been editing professionally for nearly a decade in a variety of fields with a primary focus on helping people make financial and purchasing decisions with confidence by providing clear and unbiased information.
What We Don’t Like
- High closing fees: National Debt Relief charges a closing fee between 15% and 25% of your total debt enrolled, which can minimize the overall value of enrolling.
- Potential credit damage: Enrolling in a debt settlement program will significantly damage your credit score.
- No guarantee of settlement: Creditors are not obligated to work with debt relief companies and may refuse to do so. It is also possible that creditors might file lawsuits against you when you stop paying them in order to work with National Debt Relief.
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What Does Filing For Personal Bankruptcy Do
People who file for personal bankruptcy get a discharge a court order that says they dont have to repay certain debts.
Bankruptcy is generally considered your last option because of its long-term negative impact on your credit. Bankruptcy information stays on your credit report for 10 years. That can make it hard to get credit, buy a home, get life insurance, or get a job. Still, bankruptcy can offer a fresh start if youre in financial trouble.
What Happens After A Debt Collector Contacts You
Within five days after a debt collector first contacts you, the collector must send you a written notice that tells you the name of the creditor, how much you owe, and what action to take if you believe you do not owe the money. If you owe the money or part of it, contact the creditor to arrange for payment. If you believe you do not owe the money, contact the creditor in writing and send a copy to the collection agency informing them with a letter not to contact you.
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Low Income Financial Assistance Programs For Debt Relief
Many times, when we are going through difficulties in our life, we just want to get help anyhow and we dont think that the help which is given to us is useful or not for us, or it can be a scam. Same as, many times most of the non-profit organizations come forward to help the people and also people think that getting help is the best source, instead of the government. But when you decide to take help from a non-profit organization then you need to read the small print. Because most of the time these non-profit organizations come with schemes that are not helping the people, but they do scam with them and people have to face more difficulties. Thats why it is most important to know about their schemes and investigate them in advance, so later you dont have to face any problem.
When you are seeking government grants to get out of debt, you will find a list of the government grants That are provided by them, and the amount will lie between $5 to $80 anywhere. But you find that in the end, all these grants are the same, and just are sold by different companies. So, first confirm which grant you need and which company is provided it to you, so that you cannot apply for the same grant with any other company.