Credit card debts usually become huge along with their high interests. Thus if you keep paying them by normal monthly installments, it would take you many years to eliminate your debts. Therefore people owing credit card debts look for options for reduction of their liabilities to get over them soon in a legitimate way. Legitimate liability reduction options include: Debt negotiation; Debt consolidation; filing bankruptcy and the most popular; seeking Federal Debt Relief assistance. Federal debt relief is provided by the government because after recession this debt issue became so wide scale that it is making devastating effects on the US economy.
It is your decision to select the option that holds the absolute solution of your problems. If you owe loans above $10,000 then the most convenient solutions for you are debt negotiation and debt consolidation. Debt negotiation enables you to bargain with your creditor to make reduction of about 70% on the total payable amount. You can also convince him to prolong the time for the payment and lower the interest rates. You can also hire a profession liability reduction company which has excellent skills to negotiate with your creditor.
If you owe multiple unsecured debts, appoint Debt Consolidation Company. This company will sum up all your debts and interests to get you a reduction of 25% on your total interest from your creditors. These companies design such convenient programs of debt payment for you that these payments no longer remain a burden on your monthly budget.
Government’s assistance is also available to help you with your credit card debts. This assistance is provided by Government’s Grant Programs, which enables debtors above 18 yrs to get grant money ranging from $50 to $20,000 for credit card loans, house loans, medicals loans, in fact for any kind of loans. The applications of these programs require the accurate details of your income, expenses, assets and liabilities. Security from you in the form of bank statements, stock certificates, property deeds and rental property contracts is also needed as a proof that you’re really in need of assistance to clear your debts.
The option with least preference to eliminate your credit card debt is filing bankruptcy. By filing bankruptcy one gets rid of the stress due to debt in the fastest way. There are different bankruptcy law suits. According to chapter 13 you get 3 to 5years to repay your debt and according to chapter 7 your assets are sold off. Even if your asset’s cost is much less than your debts, then also you have to pay nothing additional to the creditor. Though bankruptcy seems a very easy solution, but it complicates your future. Your credit ratings descend so low that you are no more welcomed for borrowing any money at least for next ten years.
Getting out of debt through a debt settlement process is currently very popular but you need to know where to locate the best performing programs in order to get the best deals. To compare debt settlement companies it would be wise to visit a free debt relief network which will locate the best performing companies in your area for free.