Posted on September 7, 2009 at 1:04 am Hello All Members,What is the greatest method to consolidate debt exclusive of it touching your credit score?All the Comments are appreciated…

Posted on September 7, 2009 at 8:33 am Taking out a debt consolidation loan will not affect your credit score negatively. However, it suggests to any potential lender viewing your credit report that you are overextended. Other forms of debt consolidation have other effects as well. Credit counseling, for example, has a negative impact on your credit report in a sense because it is reported that your accounts are "Enrolled in a Debt Management Plan" until the program is complete or the person drops out of said program. Unfortunately, since the repayment structures are very similar, credit counseling is perceived in a similar light to a Chapter 13 bankruptcy. Debt settlement has a negative impact on your payment history- the account is reported as past due until it is actually settled. So, your credit score actually suffers as a result.

Posted on September 8, 2009 at 4:48 am What is the greatest method to consolidate debt?It depends on the person's current financial situation, because each debt elimination process works best with a particular debt amount and financial situation. The consumer's current income and expenses other than the debts also need to be taken into consideration.