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Is_Debt_Settlement_The_Right_Choice_For_You_

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									Is Debt Settlement The Right Choice For You?

Word Count:
525

Summary:
If you’re in way over your head financially, and you’re struggling just
to get by each month, there’s a good chance that you’ve taken a long and
serious look at your options to become debt-free. You’ve probably read
more than you care to know about consumer credit counseling, bankruptcy,
debt consolidation and debt settlement, but your diligence in finding a
solution to your financial predicament has led you to believe that debt
settlement may be a viable option.

There are...


Keywords:
Credit card debt, debt, eliminate debt, eliminate credit card debt, debt
settlement, debt negotiatio


Article Body:
If you’re in way over your head financially, and you’re struggling just
to get by each month, there’s a good chance that you’ve taken a long and
serious look at your options to become debt-free. You’ve probably read
more than you care to know about consumer credit counseling, bankruptcy,
debt consolidation and debt settlement, but your diligence in finding a
solution to your financial predicament has led you to believe that debt
settlement may be a viable option.

There are a few considerations, however, that need to be factored into
your final decision regarding debt settlement, and probably the most
critical of these is the availability of sufficient funds to follow
through with the agreed-upon settlements with your creditors. You see, if
it’s simply not realistic that you’ll be able to fund the negotiated
settlements with your creditors, your choice has already been made for
you, and debt settlement is not the solution for you.

When negotiations have been ongoing and a mutually agreeable settlement
has finally been reached, you’re expected to release funds to the
creditor with whom you reached an agreement. Some creditors will accept
the settlement amount over several months, while others will insist on
one lump sum payment. Either way, if you default on the negotiated
settlement agreement with your creditor, the settlement becomes null and
void, and you’re expected to pay the entire debt in full.

If you believe funding will not be an obstacle, then debt settlement can
be an excellent solution to your financial crisis. While your credit
score may be reduced for a short period of time (if it’s not already), it
will improve a great deal once your accounts are updated to reflect a
zero balance. Also, many people have concerns regarding the possibility
of a tax liability as a result of debt settlement. To get a clearer
picture regarding debt settlement and taxes, visit
http://donaldsonwilliams.com/Debt_Settlement_And_Income_Taxes.html

Finally, let’s take a look at your final decision because reaching that
decision is simply not that easy. As a matter of fact, it’s downright
frightening, and something most people are hesitant to think about. No
matter what choice you make regarding the best resolution for putting
your financial problems behind you, it’s new territory, and the thought
of losing your credit privileges, whether through bankruptcy, debt
settlement or consumer credit counseling, is not something any of us
really want to face. I can say with a great deal of confidence, however,
that once you’ve decided which option is best for you, you’ll finally
feel a sense of relief. I would encourage you to not procrastinate;
procrastination simply leads to several more months of struggling to pay
your bills. Think long-term and you’ll realize that in a few short years
(very possibly months), you’ll be debt-free, your credit score will be
restored and you can hold your head high knowing that you faced an
extremely difficult situation and made it through just fine – and very
likely accumulated a great deal of knowledge in the process.

								
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