Many people today struggle with financial debts including credit card debt. For this reason, there has been a large increase in the number of companies who want to help you do just that. However, some of these companies may not be all that trustworthy. Before pairing with a company, it is best to do some very thorough research and make sure they are trustworthy and actually will do what they say they will do.
Remember, if it sounds too good to be true, it probably is. It is important to remember that while some credit card debt will be forgiven, or written off, by the credit card company, you will still have to repay some of it. In addition, many credit counseling services also will charge a fee. It is important to consider that the fee you may pay the service might be more than the additional amount on the credit card bill.
Wearing Blinders is not a Good Idea
Many organizations today will claim that they are non-profit and will help you become free from your credit card debt. It is important that you check with the Better Business Bureau for any complaints about their service first and foremost. Then, prior to agreeing to use their service, get everything in writing that they are promising. Remember, having written documentation is always very important.
A large number of families have been hurt financially by blindly trusting the company representative and acting on their word alone. The first step you should take is to try to deal with the credit card companies on your own. Many are very willing to work with individuals and can offer you very good deals on payment plans and even waive some of the debt that you may owe. Many times it is the late fees and finance charges that cause people to become overwhelmed with credit card debt. It is important to begin negotiating with the companies before your credit card debt overwhelms you.
Find a Plan That Works
In some cases, consolidating credit card debt is an option that works well. If it is possible to transfer your balance from a high interest card to a lower interest card, you will save money in the long run. However, if you are already behind in payments, it is a better idea to try to negotiate a lower payment amount and try to get late fees waived. Having a history of late payments on credit card debt will hurt your credit score, making it difficult for you to obtain other financing or another credit card should you choose to do so in the future.