Negotiating your credit card debt is best entrusted to a qualified Land O Lakes debt settlement service.
At Florida Debt Consolidation, we can find you a debt settlement consultant who will work to decrease your debt.
For legal reasons, Land O Lakes debt settlement firms have to disclose a good bit of information before joining:
- Fee Structure: monthly fees should be carefully spelled out.
- Timeline: they must say when they’re going to contact the credit card companies, not to mention the funds must be saved.
- Liabilities: they must tell you about the adverse repercussions of no longer paying your creditors
Make sure you find out whether your Land O Lakes, FL debt settlement firm is legit. Verify how long they have been in operation, how much debt they’ve settled, what their success rate has been, how much they cost, and be certain they’re certified settle debt in the state of Florida.
Though debt settlement can bring about substantial reduction in what you owe, it has more downsides than other options.
Of the 19,205 people who live in Land O Lakes, we estimate that 1,902 are in need of debt relief. Are you one of them?
As a way to leverage the best debt reduction possible, your debt settlement agency will probably have you quit making payments to your credit card companies. Your money will go into a checking account. Once there is sufficient funds to pay the arranged settlement, along with the fee owed to your debt settlement firm, your debt will be paid back. While waiting, your credit rating goes down because you are not making your payments. Certainly, declaring yourself bankrupt would crush your credit rating too. According to relatively recent FTC regulations, this savings, or “special purpose” account has to be in your control, regardless of the results of your debt settlement, and it should be FDIC-insured.
Keep in mind, creditors do have the right to sue you in order to go after a debt. There is a bit more probability of getting sued when it comes to debt settlement in Land O Lakes, FL simply because you quit paying them. A a debt settlement attorney in Land O Lakes, FL, can’t prevent this from transpiring.
Ideal prospects for debt settlement owe at least $10,000 in debt, are thinking about filing for bankrupty, and can no longer afford the minimum payments on their credit card bills every month.
There are 19,205 people in Land O Lakes, and 1,902 owe credit card balances of more than $10,000.
If your debt-to-income ratio is 50% or more, then debt settlement or consolidation is worth exploring.
Let’s imagine you get paid $1,511 per month, which is the Land O Lakes average. If you spend no more than $544 on credit cards, rent, and any kind of loans, you have an ideal level of debt (36%). If you are forking over $559 to $635 (37-42%), you may want to cut down on how much you’re spending. If are spending $650 to $756, which is 43-50%, you are about to experience significant debt troubles, and if are spending more than $771, you’re hurting badly and really should seek professional debt help.
Settling your debt and merely consolidating it are two distinct solutions. Almost all debt management programs result in more affordable interest levels for your credit cards and/or payday loans. However, there is no debt minimization is involved.
You continue to repay your credit card issuers monthly under a debt management plan. So your credit rating isn’t harmed nearly as dramatically as it can be during a debt settlement, during which you quit paying back your creditors. However, debt consolidation generally takes longer and over time you will pay off every cent you owe. For more information, go here: credit counseling in Land O Lakes.
Whereas debt management programs have flat monthly fees, debt settlement fees are usually applied once each balance is repaid. For the most part, settlement agencies will charge you about 14-18% of your debt – this is a whole lot! This fee will typically be spread out over 1-2 years.
- Florida Debt Settlement Company? Contact us!