Comments on: Fundamental Problem With Debt Consolidation http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/ Getting out of Debt, Getting off the Couch, and Getting into Life Sun, 29 Jan 2012 16:23:20 +0000 hourly 1 http://wordpress.org/?v=3.1 By: Moneyman http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7955 Moneyman Wed, 21 Jan 2009 12:29:37 +0000 http://www.thehappyrock.com/?p=1200#comment-7955 Credit card debt is taking over the country, and most people are charging more due to the recession. This is not uncommon, however, the time is going to come when it is time to repay all of those debts and when that happens, hopefully those of you who have charged more because of lack of money will have what you need to pay off the debt. However, if you are one of the millions of Americans who find yourself in a difficult situation when it comes time for payback, then it is time to collect debt consolidation information from whatever sources that you can find. When considering what debt consolidation information to use, the first thing that you should do is consider the source. Where did you get the information that you are using, is it an official source? You can get a lot of information about debt consolidation on government websites, which are very reliable sources in the respect that their information will be unbiased and will not direct you to a specific company to use for your debt consolidation. You will learn in detail from your debt consolidation information about the two different kinds of debt consolidation, credit card consolidation loans and credit counseling services. These are two very different programs, where taking a loan means just that, however, if you have a lot of debt or bad credit you may have to use your home as collateral or get a co-signer to get the loan, which may not be idea. Credit counseling services mean that you allow a company to negotiate with your creditors for lower payments and to eliminate your interest. The downside here is that you have to close all credit accounts or the credit counseling service will not work with you, also, this does show up as a negative on your credit report, although not as negative as not paying your debts. There are a couple of other options that may not show up in your debt consolidation information like credit card debt settlement, which is paying a company to negotiate lump sum payments with your creditors at a value less than what you owe. Another is to just do it yourself, without the help of any companies. The upside here is that your credit is not affected if you continue to make payments on your accounts. The ultimate goal for any of these plans is to pay off your debt as quickly as possible. BFreein3 Credit card debt is taking over the country, and most people are charging more due to the recession. This is not uncommon, however, the time is going to come when it is time to repay all of those debts and when that happens, hopefully those of you who have charged more because of lack of money will have what you need to pay off the debt. However, if you are one of the millions of Americans who find yourself in a difficult situation when it comes time for payback, then it is time to collect debt consolidation information from whatever sources that you can find.

When considering what debt consolidation information to use, the first thing that you should do is consider the source. Where did you get the information that you are using, is it an official source? You can get a lot of information about debt consolidation on government websites, which are very reliable sources in the respect that their information will be unbiased and will not direct you to a specific company to use for your debt consolidation.

You will learn in detail from your debt consolidation information about the two different kinds of debt consolidation, credit card consolidation loans and credit counseling services. These are two very different programs, where taking a loan means just that, however, if you have a lot of debt or bad credit you may have to use your home as collateral or get a co-signer to get the loan, which may not be idea. Credit counseling services mean that you allow a company to negotiate with your creditors for lower payments and to eliminate your interest. The downside here is that you have to close all credit accounts or the credit counseling service will not work with you, also, this does show up as a negative on your credit report, although not as negative as not paying your debts.

There are a couple of other options that may not show up in your debt consolidation information like credit card debt settlement, which is paying a company to negotiate lump sum payments with your creditors at a value less than what you owe. Another is to just do it yourself, without the help of any companies. The upside here is that your credit is not affected if you continue to make payments on your accounts. The ultimate goal for any of these plans is to pay off your debt as quickly as possible.

BFreein3

]]> By: Jonathan Browne http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7626 Jonathan Browne Fri, 02 Jan 2009 21:33:25 +0000 http://www.thehappyrock.com/?p=1200#comment-7626 Absolutely, the true key to getting out of debt is stopping an addiction to spending on unneeded items and make a commitment to lower monthly expenses. <a href="http://howtodealwithcreditorsandgetoutofdebt.blogspot.com/2008/12/stop-your-addiction-to-spending.html"> read my article on addictive spending here Absolutely, the true key to getting out of debt is stopping an addiction to spending on unneeded items and make a commitment to lower monthly expenses.

read my article on addictive spending here

]]> By: Bankruptcy Regina http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7592 Bankruptcy Regina Tue, 30 Dec 2008 20:22:21 +0000 http://www.thehappyrock.com/?p=1200#comment-7592 Great article! We take the same approach in communicating these valuable facts to our clients. I have bookmarked this post and will share it with the rest of my team. Great article! We take the same approach in communicating these valuable facts to our clients. I have bookmarked this post and will share it with the rest of my team.

]]> By: TheCreditToolBox.com » Blog Archive » Credit Around The Blogosphere http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7127 TheCreditToolBox.com » Blog Archive » Credit Around The Blogosphere Sat, 29 Nov 2008 18:45:13 +0000 http://www.thehappyrock.com/?p=1200#comment-7127 [...] Happy Rock talks about the “Fundamental Problem with Debt Consolidation.” [...] [...] Happy Rock talks about the “Fundamental Problem with Debt Consolidation.” [...]

]]> By: The Happy Rock http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7059 The Happy Rock Mon, 24 Nov 2008 17:44:04 +0000 http://www.thehappyrock.com/?p=1200#comment-7059 @ChristianPF - I think you are right. The symptoms are usually easier and more tangible. Fixing the cause usually requires more effort, change, and more humility. @ChristianPF – I think you are right. The symptoms are usually easier and more tangible. Fixing the cause usually requires more effort, change, and more humility.

]]> By: 180th Carnival of Personal Finance http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7055 180th Carnival of Personal Finance Mon, 24 Nov 2008 14:09:20 +0000 http://www.thehappyrock.com/?p=1200#comment-7055 [...] Happy Rock from the Happy Rock talks about the “Fundamental Problem with Debt Consolidation.”  He says debt is the symptom of the problem. The problem is the attitude and behavior that [...] [...] Happy Rock from the Happy Rock talks about the “Fundamental Problem with Debt Consolidation.”  He says debt is the symptom of the problem. The problem is the attitude and behavior that [...]

]]> By: Credit Karma Weekly Roundup | Credit and Personal Finance Blog | Credit Karma http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7043 Credit Karma Weekly Roundup | Credit and Personal Finance Blog | Credit Karma Sun, 23 Nov 2008 11:09:27 +0000 http://www.thehappyrock.com/?p=1200#comment-7043 [...] The Happy Rock posts the Fundamental Problem With Debt Consolidation. [...] [...] The Happy Rock posts the Fundamental Problem With Debt Consolidation. [...]

]]> By:   Midnight Meanderings - The 929 Project by No Credit Needed http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7016   Midnight Meanderings - The 929 Project by No Credit Needed Sat, 22 Nov 2008 04:53:58 +0000 http://www.thehappyrock.com/?p=1200#comment-7016 [...] The Happy Rock - The Fundamental Reality About Debt Consolidation [...] [...] The Happy Rock – The Fundamental Reality About Debt Consolidation [...]

]]> By: ChristianPF http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-7007 ChristianPF Fri, 21 Nov 2008 16:54:52 +0000 http://www.thehappyrock.com/?p=1200#comment-7007 " Focus on the problem not the symptom. Fix the problems and the symptoms will go away with some hard work." very well said. This is so true in almost every area of our society. We are way too focused on fixing symptoms rather than getting to the root of the problem. ” Focus on the problem not the symptom. Fix the problems and the symptoms will go away with some hard work.”

very well said. This is so true in almost every area of our society. We are way too focused on fixing symptoms rather than getting to the root of the problem.

]]> By: The Debt Defier http://www.thehappyrock.com/2008/11/19/fundamental-problem-with-debt-consolidation/comment-page-1/#comment-6965 The Debt Defier Wed, 19 Nov 2008 17:24:11 +0000 http://www.thehappyrock.com/?p=1200#comment-6965 So far the only debt we've consolidated have been student loans. But I know some folks who did what you alluded to, even as they were outwordly professing their desire to become debt free. Looking back I think they had a Dave Ramsey moment. They were going to downsize their lifestyle and help their kids with college expenses. But the moment was fleeting. After talking to their banker they refi'ed their house and soon they bought a new truck, a convertible, two scooters, and upgraded their RV. They don't talk about getting out of debt anymore. So far the only debt we’ve consolidated have been student loans. But I know some folks who did what you alluded to, even as they were outwordly professing their desire to become debt free.

Looking back I think they had a Dave Ramsey moment. They were going to downsize their lifestyle and help their kids with college expenses.

But the moment was fleeting. After talking to their banker they refi’ed their house and soon they bought a new truck, a convertible, two scooters, and upgraded their RV.

They don’t talk about getting out of debt anymore.

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