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Best Debt Consolidation Comany?

Has anyone ever consolidated their debt? What company did you use? Did you like it or in the end did you wish you would've just stuck to trying to make the payments yourself?

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Asked by CayShek at 2:37 PM on Dec. 22, 2010 in Money & Work

Level 14 (1,423 Credits)
Answers (6)
  • You have to pay for their services. I believe. I would advise taking your lowest balance account and paying that off first. Then pay off the next one, and so forth. Then snowball to the larger accts.

    Answer by 2BlondeBabies at 2:40 PM on Dec. 22, 2010

  • Before you PAY a company to do what you can do for yourself, go to the library and check out the book The Total Money Makeover by Dave Ramsey. It will tell you step by step what you need to do to get rid of your debt and eventually build wealth. It's not filled with new ideas, it's common sense, but it breaks it all down for you in easy to do steps, including the snowball that the previous poster suggested. If the library doesn't have the book, put a request in so that they can borrow it from another library. Also there is a group on here called Dave Ramsey Fans, filled with wonderful women working on getting out of debt, or have already gotten out of debt. Join the group and ask questions.

    Answer by slw123 at 4:00 PM on Dec. 22, 2010

  • I agree with the previous posters- especially about borrowing the book Total Money Makeover from the library. It is a must read.

    Debt consolidation can be done by taking out a loan to pay off all your high interest debt. The benefit is usually a lower interest rate and one monthly payment. But be careful, sometimes it's not a low interest rate. And often times the reason the monthly payments are lower is because the loan is spread out over 10 or 15 years instead of 5. Also there is the risk that once you consolidate you'll go right back out there and charge up the credit cards. That unfortunately happens in more cases than not.

    You're local bank would be the best bet to get a consolidation loan.

    However if you are talking about a debt settlement company you can settle your debts on your own for free. The book Total Money Makeover has a small segment on that. And of course, if you have the money to pay it, pay it.

    Answer by Erica_Smerica at 7:35 PM on Dec. 22, 2010

  • I used Consumer's Credit Counseling, but I think they have changed names since that time. They were excellent. My daughter has used Alliance. She will be done in three months. YEAH!!

    Answer by m-avi at 7:41 PM on Dec. 22, 2010

  • I need help, too!

    Answer by NicolesMommy at 2:57 AM on Dec. 23, 2010

  • I would double check any company you go with the BBB. You want to make sure they're reputable. And if something doesn't sound right, don't go with them.

    Answer by HotMama330 at 11:35 AM on Dec. 23, 2010

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