You Got Debt "You Got Options"

Absolute provides its client's with a unique and aggressive service known as debt settlement. Debt Settlement is a tried and ethical program in which creditors agree to accept an amount less than what is owed in exchange for forgiveness of a full balance owed. After a creditor agrees to lower a pay off amount, it is settled with a lump sum payment for forgiveness of the entire debt. In exchange, creditors are then required to either report the account fully resolved, settled in full, or stop all credit reporting. 

            Debt Consolidation
Is debt consolidation right for you? Debt consolidation is always a great way to bring resolve to debt as long as clients have a process in place before the consolidation to settle the debt. If there is no procedure in place to discount the amount owed, there is no real reason to conduct a consolidation loan. Lowering the monthly payment is somewhat beneficial, but the end result may not be what was desired. A simple trade out of loans does not lower the amount owed or monthly payment, and in most cases, clients are going to end up owing double what they started with. About 80% of borrowers use debt consolidations loans, bringing accounts to a zero balance, but end up owing another lender at a lower or longer rate/term. In most cases, people that go through debt consolidation will continue to use the accounts that were paid off, resulting in double the debt. The end result is, if clients have a well qualified debt settlement company that has a perfect reporting with the BBB and is IAPDA Certified, that company should handle all the negotiations before the debt consolidation and then they are sure to come out on top.



                    Avoiding Bankruptcy

Occasionally, there are times when people or businesses run into severe financial troubles.  When put to paper, it seems as though they cannot manage to continue to make necessary payments on their current income.  For many, bankruptcy seems to be the only way out.  But bankruptcy should always be the last option. Before this option is acted on please call us to determine weather or not the pain of bankruptcy is required. 

 

Tom Bates, IAPDA Certified Debt Arbitrator