Posted on August 27, 2009 at 2:11 am Is it any different from consolidation loan, this consolidate credit cards into one, deal?

Posted on August 27, 2009 at 2:32 am Yes, very different.Consolidate credit cards into one could mean credit counseling or debt settlement service.Here, the consumers who have multiple credit card debts, of various amounts and interest rates, get to consolidate or gather them into just one debt. The credit counseling agency would lower the interest rates on the consumers debts while the debt settlement company negotiates the principal amount of debt, cut it to more or less half. Then when an agreement (amounts, rates) between the creditors and the debt relief company is reached, payment starts.On the other hand, consolidation loan is about borrowing an amount that would pay off all of the consumers debts and then the consumer pays the consolidation company (lender).

Posted on August 27, 2009 at 2:38 am How do you consolidate credit cards into one?

Posted on August 27, 2009 at 2:55 am How do you consolidate credit cards into one?You mean the DIY way?Find out which card has the highest balance or interest rates. Those should be dealt with first.Call the credit card companies and find out if they offer a zero percent balance transfer.If they have zero percent balance transfer - do a transfer (cards with high balance and high interest rates on to the lowest rate card)Increase the minimum payment each month.

Posted on August 27, 2009 at 3:29 am How do you consolidate credit cards into one?Although I'm not a professional debt consultant, you may try the following:Ask the credit card companies if they offer a hardship program. You can try to negotiate your payment terms - for example: you would pay a smaller amount in exchange for an extended pay period, you can also ask if you may skip months in exchange for a a bigger payment on a new deadline set, you can also ask if they may reduce or freeze your interest rate, etc. These or wait for them to make an offer.

Posted on August 27, 2009 at 3:35 am But why would you consolidate your credit cards into one - by yourself - if you do not live in the states that prohibit professional debt relief services? The down side to negotiating your own debts with the creditors is that - you do not know the character of these creditors. They have various temperament and preferences and policies - which professional negotiators know, having already dealt or worked with them.If you are not sure which credit card consolidation service or company is right for you - feel free to fill out a form here at destroydebt.com.

Posted on August 27, 2009 at 3:49 am How do these "consolidate your credit cards into one" programs work?

Posted on August 27, 2009 at 3:59 am You mean the credit counseling (Debt Management Program) services and debt settlement?There are qualifications to those programs:Credit counseling - if your debt amounts to less than $10,000 and have high interest rates. Their program focuses on lowering your interest rates so you can get at your principle amount.Debt Settlement - if your debts amount to more than $10,000 and your accounts are already past due. Their program focuses on negotiating your balance to more or less half.

Posted on August 27, 2009 at 4:02 am how much would they cost? they are not free, are they?

Posted on August 27, 2009 at 4:16 am Credit counseling is non-profit but their Debt Management Plan would cost around $25/mo. after the one time set up fee.Debt settlement companies would charge 15% of your total debt amount -spread over 18 months or they will take between 20-25% of the settlement amount.