Credit Card Relief

We started a program with "Consumer Credit Counselors" This progarm has us pay the Consumer Credit Counselors, then they pay the credit cards every month. All they do is lower some of the interest rates. They don't negotiate amount owed. The payments are too high for us, so we looked into other alternatives. We found one company that will do it differently for less. They have you pay into an escrow account, and they pay off each credit card individually. They say they negotiate lower balances and interest rates. The payment would be lower and the payoff time cut in half. Does anyone know of any reason we shouldn't do this? Are there any other better ways? WHAT IS THE BEST WAY TO GET CONSUMER DEBT RELIEF with no loans?

I am not saying that debt settlement/negotiation is the wrong way to go. However, it will damage your credit further.

If you choose to settle on your debts, you can do this without paying enormous fees to a debt settlement company. Keep in mind that any forgiven debt of $600 or more is automatically reported to the IRS, in which you would owe taxes on it as a form of income.

If you can continue to make the payments on your current plan, then that is likely the best option for you. If you are having trouble, give your credit counselor a call to discuss possible changes to your account.

2006-08-16 09:02:29 by boxbeatle

Credible Credit Card Relief Company, Attorney driven

They are an agency that helps consolidate credit card debt. I need to know if they are honest and reliable.

It is a broad term to describe any company that helps to reduce debt by means of negotiation or settlement. When selecting a debt relief company make sure that they are a member of industry organizations like TASC or IAPDA.
Debt settlement is a good option when you are in deep debts, it helps you lower your debt amount and you can be debt free in a year or two. I took help of Freedom Debt Relief to get rid of my debts. It has been more than a year that I enrolled into their debt reduction program and now I am almost debt free.

2009-05-14 17:52:35 by E.Michael S

Price: $10.95

My mother is 90 years old and is need for credit card relief.Are there any company's out there that are ligament for her to use

My grandmother had the same problem when she was in her late 80s. My dad went to his lawyer and asked what to do...Grama only had social security as income and couldn't make the minimum payments. Dad's lawyer wrote letters to the credit card companies and told them to basically shove it, there was no way they'd be able to collect from her. He told them to go ahead and waste their time in court if they wanted to, there was nothing going to come of it for the credit card com panies. After a few months, the credit card companies discharged the debts, and grama took the hit on her credit report (because really, what does an almost 90 year old lady in a senior housing care about her credit score?).

You don't need a credit repair company to do this...mostly because you don't need to worry about gramas credit rating.

You don't need to pay a company to deal with this...

2009-07-08 09:28:49 by james

Price: $4.99

I was told that in the year I would have a credit consolidation that I should file a #982 form. This will do what for me? I have concerns about with the "forgivness of debt" becoming a taxiable income.

When the debt is cancelled, you will get a form 1099-C for the amount you aren't paying.

The IRS says to add this to your income. If you are in the 15% tax bracket and had $10K cancelled, you pay income tax of $1500.

If you are either through bankruptcy or are insolvent, you use form 982 to POSTPONE the cancelled debt to a later year. For the totally broke, they may never include the money in income. For others, they will.

If you aren't broke, you can't use the form.

See irs pub 4681.

2009-03-19 20:20:59 by P-in-B

I have a good amount of credit card debt, and I'm trying to find away to make the payments more bearable, but everything I find online seems to be a scam.

You can look up debt settlement companies in your local yellowpages. Give them a call and see what they have to offer. They can usually cut your payments in half and get you out of debt between 18-48 months. I would help you but I'm not allowed to advertise on yahoo answers. Good luck

2008-10-21 13:17:22 by wraith0564109