It can be hard on the consumer who is strapped with debts and seemingly no solution. But there are many debt consolidation experts in the market who can assist in consolidating a consumer’s debts to make the monthly payment more affordable with a time frame of clearing the debts.
Debt consolidation can be handled through a debt review, voluntary distribution and sequestrations.
Benefits
There are benefits of this consolidation. This includes handling and focusing on one monthly payment instead of multiple repayments which are harder to track and settle.
Monthly costs can be lowered with one focused payment and payee; the consumer would have a better time frame of total settlement when they take on a consolidation option. It is possible to choose writing off the debt option as a last resort through consolidation.
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Choice of experts
This consolidation is best walked through with the best in the industry: This consolidation experts. These qualified and knowledgeable professionals would act on your behalf and as go-between between you and the creditor. Many times the creditors are willing to reduce their interest rates to assist the over-indebted consumer in settling the debt within a more reduced time period.
Reputation
A counsellor needs to be legitimate and registered with the National Credit Regulator. A reputable counsellor would usually also come with references, consumers that have been assisted by the counsellor and who wish to confirm their reputation and service. It may well be a good idea for a consumer to ask for references before choosing a debt counsellor.
Good consolidation companies should have reputable debt consolidation experts who are experienced with a high success rate.
Costs
This is an issue to be thoroughly canvassed with any counsellor and it is advisable that a consumer ask whether the debt counsellor charges the fees that are recommended by the National Credit Regulator. If they do not and are not willing to put this in writing, it is advisable to seek the assistance of an alternative debt counsellor.
It is the responsibility of the counsellor to draw up the most conducive payment schedule on behalf of the consumer for every creditor. The review considers the amount the consumer can afford to pay the creditors after deducting the monthly expenses.
However, that alternative may be longer and more tedious for the creditors to collect the debt from the debtor. Hence, most creditors would accept the debt review offer and let the appointed debt counsellor handle all the necessary legal and tedious procedures as creditors wait patiently for the return of their money.
