1 / 8

Debt consolidation

debt consolidation, get out of debt, credit card debt

finlitgal
Download Presentation

Debt consolidation

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Debt Consolidation • lifethenfinance.com

  2. What is Debt Consolidation ? • Debt consolidation is the process of having your debts combined and managed by a 3rd party i.e. debt consolidation company with the hope of a lower monthly payment and interest rate • -Credit Card Debt is the top personal debt type in the United States

  3. Facts     • The debt is still there • The behaviors that lead to the debt are still there • 78% of people who use debt consolidation accumulate debt again • Being in debt is a symptom of a bigger problem

  4. Debt Consolidation • Myth: • Saves Interest and smaller payments • Truth: • Unwise method to eliminate debt. • Reduced interest, one small payment and increased time to payback. Instead of paying your debt in 2 years, it will be 5 years.

  5. Debt Consolidation Companies: What they do? • Negotiate a lower interest rate with your creditcard company. • Consolidate all your debt into one monthly payment. • Most of the plans are approximately 5 years. • A percentage of your monthly payment goes to fees charged by the debt consolidation company.

  6. Summary: • - Debt consolidation is a high risk approach to paying off credit card debt.  • -Have a plan and do it yourself • - Call your card company directly and negotiate reduced interest payment in turn reducing your monthly payment. • -By doing it yourself, you are modifying your way out of debt

More Related