When your credit card debt is beyond your control, debt reduction assistance will surely be a big help to you. The first thing you have to do is to be aware of the help that you need regarding your debt and try to figure out the possible benefits that you can get from debt reduction assistance

The added benefits of this strategy for some people are incredible. Some companies can reduce your minimum monthly payment up to 70 percent. Also, most of the companies can settle your debts with your lenders to eliminate any overdue interest or other fees.

In order to know how approximately how much you’re your debt can be reduced, you have to submit a request to a debt elimination company, preferably online applications because it will just require you a few minutes to fill up and send.

A request for this kind of program will need some personal data like your social security number, address, amount of your balance and the names of your creditors.

This data will serve as an assessment for the total amount of your balance. After checking all the alternate options that are available, a debt consultant will call the number and communicate with them. These steps will only take 24 hours or even less.

It is very important to check all your available choices so that it will help you in reducing your debt. Pick the best method or program that will fit your needs. Keep in mind that the fastest method of debt elimination may not be the most effective way to get out of debt. Analyze the risks versus the rewards of the program.

After the said plan is done, the consultant or the counselor will be the one who is in between the consumer and the lender. He or she will be the one making the calls to the creditors for appointments. The only person who will communicate your debts that you owe is the counselor. The debt reduction assistance plan will combine all your credit card debt into one low payment each month that is due to them rather than each of the individual creditors.


At the present recession position, the Government has imposed certain laws to benefit people and go towards the procedure of debt negotiation that can come through debt settlement programs introduced for the guidance of people. Economic instability has led people in miserable state as the debts have reached a huge range where expenditure is more than income and people are striving hard to live through this phase.

Debt settlement is a procedure in which a person who has huge debts comes in contact with the creditor and the process of debt negotiation begins where the person shows his present position and tries to negotiate the amount of debt. The amount of reduction in the payables depends on how the negotiation process ended or on which clause they have taken a step to finally implement the change in their payables.

Debt negotiation can be done in two ways, one is by own self and the other is through a debt settlement firm. In this article we will discuss both gradually. In the personal negotiation, the debtor himself faces all the creditors and he discusses his position and asks for reduction in the amount of debts. Successful negotiation depends on how a person deals the situation and what factors have gained such importance that it can reduce the amount. It is more advisable to hire a firm rather than doing debt negotiation on your own.

A debt settlement firm has professionals who know how to deal with different situations and they are considered to be a more reliable source as the new laws have made this procedure more transparent by introducing various clauses in favor of debtors including no upfront charges by debt settlement firm. Due to this we can say that the chances of fraudulent have become quite rare. Moreover, a settlement firm makes it possible to have a successful deal as it will get its fees only when the settlement deal is successful. So, the chances for getting success are bright.

It is more sensible to go through professional way towards debt negotiation as through this channel, the chances of 50% elimination in debts are high and it is the right option to work on.


We are moving in a fast pace economy where plastic money has considerable importance. Spending via credit card has been such in vogue that the sudden downfall of economy has lead people nowhere and has caused such pressures that have led them to no option rather than credit card bankruptcy.

People with huge credit card bills have been in such a trauma as there are more expenses and the income is considerably low. In such case, going for bankruptcy is the best option but it has many effects some adverse affects that can be harmful for them. Looking into bankruptcy filing, one has to go through number of procedures. This includes from lawyer fees to filing charges and other costs to be paid hence, filing for credit card bankruptcy is really costly. Moreover, it affects your credit score and a bankrupt person cannot get a loan for the next 8-10 years, leaving low financial positioning along with damaging the future. Now if we look at the creditor’s side then we will come to know that the creditor is also not satisfied with the result of bankruptcy as the person with insolvency is protected by the government and a creditor gets ineligible to ask for his money from the debtor. Thus a creditor won’t be having a single penny back which will lead towards huge loss.

Credit card bankruptcy is not the right option as we have other options that can provide us relief from huge debts and they will also not rupture our financial credit score. These options include debt settlement. 50% of the total amount is eliminated while the other half is converted in easy installments via the settlement program. This is a very reasonable way to execute your debt payments slowly and steadily. Moreover, hiring a debt settlement firm is also more authentic now as laws are made for their legacy and no upfront charges make it possible to have a transparent mode of negotiation by the debt settlement firm, leading towards proper proceeding and finally resolving the issues effectively.

Hence if you have an unsecured debt worth $10k it is better to go for debt settlement rather than going for credit card bankruptcy as it is not a right choice to go for when you have other options to avail. If these options fail to bring the desired results then one can go for the procedure of bankruptcy but at that time one has to keep in mind the after affects of bankruptcy.


Due to the condition of financial instability in the country, many people are suffering from the pain of credit card debts. People used credit cards when the country was going in fiscally stable position but soon after the wave of recession entered the economy, people lost their jobs and those fortunate people who were still on their jobs faced the problem of decline in the wage rates. Due to these conditions, people get unable to payback their credit card debt on regular basis. The economic conditions also reached to the worst side as with each passing day, more and more people are falling into the pool of massive liabilities.

In order to take out people from this depressed situation, the government has established the concept of bankruptcy and debt settlement in the market. These both methods for credit card debt relief are legal and work under the full supervision of the federal administration. In this article, a person will learn the pros and cons of each method so that it will become easy for him to make selection between these both options.

There is no doubt that The process of bankruptcy brings fast reduction in the amount of credit card debt but it destroys the credit ranking very badly due to which the particular person becomes ineligible to take loans and advances from banks for the next several years. The process of debt settlement also brings fast reduction in the amount of debts.

Though credit ranking also gets affected but this impact is for short period of time and once a person pays back his liabilities, he can avail the facilities offered by banks easily. Filing bankruptcy is expensive as a person has to pass many legal formalities and other paper work. On the other hand the process of debt settlement is not expensive as a person does not have to pass many legal obligations. In case of bankruptcy, all the personal assets get in danger but no such fear is present in the method of debt settlement.