Debt Relief Hotline

To the Editor:
I have a buddy of mine who is in a lot of financial trouble, and I'm wondering if you have some advice or could help in any way.

His house was almost foreclosed on, but thanks to a loan from his mom he got to keep it. The problem is that the house is worth maybe $70,000 and now, because of late fees and penalties, he owes about $90,000 on it. He also owes about $30,000 in credit cards. He's unemployed and scared to get a new job, since he believes a paycheck will get garnished by all the people who he owes money to. He's got 2 roommates living in his house with him, but even with them he's barely making ends meet.

Read the rest of "How to Solve a Debt Problem"

Medical Bill Debt Consolidation– Has helped millions pay off their debt and get back on their feet

You never know when illness or disease can strike. It can leave you facing huge medical bills. In fact, one of the 3 major reasons people find themselves in debt is a medical emergency to an immediate family member. Health care costs are usually billed at a much higher rate for those that are uninsured and this makes it even more difficult to pay off your medical bills. Medical debts can destroy you financially and have forced many into bankruptcy.

If you have found yourself deep in debt to medical bills, a form of debt consolidation called debt settlement may be the answer you have been looking for.

Read the rest of "Do you need Help with Medical Bills and Debt?"

How does paying off debt effect your credit score?
What are the pros and cons I should be looking out for?  I really appreciate your help. 

Gratefully, Tim

Tim,
You have a very good question and there is a quick answer and a more detailed answer. 

Read the rest of "How paying off debt can raise your credit score"

When collection agencies sell your debt to another does it set your credit score back 7 years?  I need a little help/direction before I can start.  Any nuggets of wisdom would be absolutely great and very much appreciated.

Thank you in advance.

Yours truly, Susan

Susan,

You have a very good question and it pertains to thousands of Americans every year.  The straight answer is when a debt is sold to a collection agency or debt buyer and then resold to another agency or debt buyer at a later date...

Read the rest of "Collection Agencies hurting Credit Scores"

Debt Settlement vs Bankruptcy: What’s Right For You?

If you find yourself facing a debt crisis you’ll need to act quickly to avoid a potentially nightmare of a problem.  Debt is a problem that always starts off small but compounds over time. The longer you wait, the harder it will be to recover. 

It starts off like a small hole in the radiator hose of your car.  The longer you wait to fix that hole, the bigger it grows. Until one day the hole is no longer the problem, it has grown to the point that the engine needs to be replaced.  Debt is the same way.  If you take action when you first notice the problem, it can be solved quickly and for less than you may think.  If you wait, the debt relief options that were available to you will have expired and you will only be left with the option to file bankruptcy. 

There are debt relief options out there to help you; all of them have pros and cons and that really depends on your unique situation.

Read the rest of "Debt Settlement VS Bankruptcy"