subject: Credit Card Debts - Why Pay Off Credit Card Debt When You Can Eliminate Some First? [print this page] People often behave in such a gullible manner that it is not surprising that credit card issuers and other lenders take undue advantage and loot them of their hard earned income. Most of us consider it our moral duty to repay all our debts in full. We also feel that we should make all interest payments in full as that is the price to pay for the loan borrowed. We forget that the lender charges administrative charges and other fees before sanctioning the loan.
Further, the interest rate never seems to come down. It always seems to go up and up. This means that the profit earned by the lender at the cost of the borrower keeps on rising. In such a scenario, you should recognize the truth that you have probably paid more than the amount borrowed as interest payments to your credit card issuer.
Hence, do not been a hurry to repay your credit card debt. Rather, you should take steps to eliminate the amount owed and reduce the debt before making any repayment. There are various methods to bring down the amount owed. Before we check out various methods, it is important to remember that no solution can work without the consent of your credit card issuer. Hence, you will have to present the solution in such a manner that the credit card issuer agrees to the same. Most debt settlement cases succeed only because professionals are employed by the borrowers.
Debt settlement is the process of obtaining a waiver on the amount owed. This leads to an instantaneous reduction in the debt of the individual. The remaining amount must be repaid in full. If you are wondering why a credit card issuer would offer such a deal, then keep in mind that more than a hundred thousand bankruptcies have taken place due to aggressive recovery policies of credit card issuers and the recession.
As on date, creditors are afraid to add your name to that list. You have to play upon the fear to get the debt relief you want. The government too will not look favorably upon issuers who cause more bankruptcies. All in all, time is ripe to settle your debts.
If you are over $10,000 in unsecured debt it would be wise to utilize a debt relief network instead of going directly to a debt settlement company. Using a debt relief network guarantees that the debt settlement company you choose has been certified and has established success in negotiating settlements. They are free to use and a good starting point to begin your debt relief process.
