How You Can Settle Overdue Debts

Overdue debtIf you have a number of overdue debts, there are actually a few different things that you can do to settle them. Many people often have several credit cards on which they have large balances and do not possess the means to pay them off. Carrying those balances leads to problems with credit and financial standing. So, how can someone get rid of these debts?

Negotiate A Settlement

Negotiating a debt settlement can be done one of two ways – on your own or by using a debt settlement company. Consider if you can afford to pay someone else to negotiate your debts before signing or committing to anything. It is possible to negotiate your own debt settlements. If it a credit card you are trying to take care of, call the company and negotiate a settlement price. You must be prepared to pay them a lump sum in order to take care of the debt. In many cases, credit card companies will accept offers to pay off debt.

Consolidate Debts

Often, people have many overdue debts that are ruining their financial standing. The amounts of their individual debt payments are destroying their budgets. What if those same people could pay off all of their debts and have one new lower payment? It’s possible with a car title loan. If a person owns a vehicle with a clear title, he or she can use the vehicle as collateral to secure a title loan. Embassy Loans of Florida has helped thousands of customers obtain car title loans for a variety of reasons. Auto title loans do not require a credit check and can be processed in as little as an hour. The proceeds from an auto title loan can be used to pay off other debts and give the borrower one new, low payment. Once the car title loan is paid off, the borrower is debt free.

Credit Counseling & Debt Management

Another method of settling your debts involves entering into credit counseling or debt management. In doing so, you will receive help reviewing your financial situation and developing plans for paying off your debt. A debt management program will normally help to renegotiate the terms of existing loans. You still maintain the same debts with the same balances but with lower, more manageable payments and interest rates. If you consider a debt management program, it is recommended that you use a certified credit counselor.