Daniel Major offers the following royalty-free article for you to publish online or in print. Feel free to use this article in your newsletter, website, ezine, blog, or forum. ----------- PUBLICATION GUIDELINES - You have permission to publish this article for free providing the "About the Author" box is included in its entirety. - Do not post/reprint this article in any site or publication that contains hate, violence, porn, warez, or supports illegal activity. - Do not use this article in violation of the US CAN-SPAM Act. If sent by email, this article must be delivered to opt-in subscribers only. - If you publish this article in a format that supports linking, please ensure that all URLs and email addresses are active links. - Please send a copy of the publication, or an email indicating the URL to [email protected] - Article Marketer (www.ArticleMarketer.com) has distributed this article on behalf of the author. Article Marketer does not own this article, please respect the author's copyright and publication guidelines. If you do not agree to these terms, please do not use this article. ----------- Article Title: A Simple Explanation of the Process of Credit Card Consolidation Author: Daniel Major Category: Finance, Debt Consolidation, Personal Finance Word Count: 609 Keywords: Credit card debt, credit card, credit cards, credit card consolidation, debt, credit Author's Email Address: [email protected] Article Source: http://www.articlemarketer.com ------------------ ARTICLE START ------------------
Until recently, credit cards have been too easy to obtain, because of this many people possess a number of credit card accounts rather than just one. As a result, many of these people have over- extended themselves and now have an overwhelming debt problem that they are struggling to cope with. A large credit card debt will gobble up a massive portion of an individuals' income each month and the worse part is that the vast majority of this repayment is paying pure interest. The outstanding principle on the outstanding balance hardly comes down! Unfortunately, too many people bury their heads in the sand believing that this is normal, which is a sorry indicator of either a distinct lack of education about personal finance or a complete lack of responsibility, either way it is worrying. Those that have the common sense to see that they have a problem will look for a solution and the solution they arrive at is consolidation. When the decision is made to consolidate credit card debt the first step to taken is to find and contact a non-profit service that offers consolidation services to assist them. It is vitally important that any credit card consolidation service being considered is checked out to ensure that they are a reputable business as there are many that are out to make a quick buck at your expense. The easiest way to check out a company is to use the Better Business Bureau. The BBB will hold relevant information about a company's history. Generally, consolidation services all work in the same way. Initially a counselor will request information about your creditors, the amount owed to each, repayment dates, outstanding balances etc and also how much money you have available to make repayments each month. Once in the possession of this information, the credit counselor will devise a repayment plan that will be proposed to each creditor. A credit consolidation counselor's job is to lower your monthly repayments as much as possible and they do this by using the information you provided to negotiate with your creditors. Usually, the negotiating counselor will request either a reduction or an elimination of interest on the outstanding balance as well as a hold on any penalty charges and the response from the majority of creditors is usually responsive as they can see that the debt is being dealt with correctly. This will result in a lower monthly payment that goes, in the main, towards reducing the outstanding balance rather than being eaten up by interest charges. The entire process usually takes 4 to 6 weeks to reach conclusion but this will depend upon how creditors respond to the proposals being made to them. Once an arrangement that is acceptable to all parties has been agreed upon the consolidation service will usually manage your repayment schedule. You will be required to pay the consolidation service a set amount each month, that is then dispersed amongst your creditors. The consolidation service will demand a fee for this service and this is worth asking about before you provide any details about your debt. In many states these fees are capped and legislation is in the pipeline that may eliminate these charges altogether! Credit consolidation services perform an invaluable service both to the debtor and to the creditor in that they allow the consumer to repay his or her debt, and the creditor to recover a large portion of the debt that was originally incurred, so if your credit card debt is becoming unmanageable don't bury your head in the sand thinking that it will all go away. Take some responsible action and look into consolidating your debt. For more information on how to get rid of your credit card debt and about a little known method of debt elimination so effective at eliminating debt that the financial institutions would rather you knew nothing about, visit: http://www.creditcardconsolidationloanssite.com ------------------ ARTICLE END ------------------ [Non-text portions of this message have been removed]
