Credit Counseling Offers Benefits, But Debt Settlement is More Suitable For Those Facing Bankruptcy
Critics of debt consolidation settlement often end their critical analysis by suggesting that a credit counseling session with an expert will be more beneficial.
It is amusing to find that there are people who will offer credit counseling to those individuals who are at the brink of bankruptcy.
Credit counseling is a process where you get in touch with an expert to sit down and impartially analyze your financial condition.
You obtain a third party's perspective on the whole scenario and try to understand where you went wrong.
Once this detailed analysis is complete, it is time to take remedial action.
You'll be advised to lock certain credit cards, obtain certain loans to repay certain debts and improve your level of financial discipline.
Where is the question of opting for such remedies when you do not have even ten dollars in your pocket and your lenders are constantly troubling you for repayments? Where is question of sitting down and performing impartial analysis when your home loan may be foreclosed in a matter of few days? Credit counseling is suitable for those who have a very straight view of financial discipline and who do not sway from it even under the most difficult circumstances.
If you have opted for credit counseling before, chances are high that you will never face debt related problems.
However, if you're already facing debt related problems, chances are remote that the credit counseling session will be of any use unless your problems are just beginning.
On the other hand, debt settlement is like aggressive medical therapy that does not focus on preventing the disease from occurring.
Rather, it takes immediate action against the virus or the germs present in your body, in this case, your financial condition.
Your debts come down by as much as sixty to seventy percent in a single day.
Once you sign on the dotted line and get your lender to do the same, you would be free of 6/10th of your debt without paying even a single cent.
This gives you a great boost that can be used to improve your financial condition in the shortest time possible.
It is amusing to find that there are people who will offer credit counseling to those individuals who are at the brink of bankruptcy.
Credit counseling is a process where you get in touch with an expert to sit down and impartially analyze your financial condition.
You obtain a third party's perspective on the whole scenario and try to understand where you went wrong.
Once this detailed analysis is complete, it is time to take remedial action.
You'll be advised to lock certain credit cards, obtain certain loans to repay certain debts and improve your level of financial discipline.
Where is the question of opting for such remedies when you do not have even ten dollars in your pocket and your lenders are constantly troubling you for repayments? Where is question of sitting down and performing impartial analysis when your home loan may be foreclosed in a matter of few days? Credit counseling is suitable for those who have a very straight view of financial discipline and who do not sway from it even under the most difficult circumstances.
If you have opted for credit counseling before, chances are high that you will never face debt related problems.
However, if you're already facing debt related problems, chances are remote that the credit counseling session will be of any use unless your problems are just beginning.
On the other hand, debt settlement is like aggressive medical therapy that does not focus on preventing the disease from occurring.
Rather, it takes immediate action against the virus or the germs present in your body, in this case, your financial condition.
Your debts come down by as much as sixty to seventy percent in a single day.
Once you sign on the dotted line and get your lender to do the same, you would be free of 6/10th of your debt without paying even a single cent.
This gives you a great boost that can be used to improve your financial condition in the shortest time possible.