I’m in debt
February 22, 2009 6:41 pm BusinessI was recently employed in the credit card collections department of a large UK based bank and was faced with people in financial trouble everyday. We were trained to not harass our customers but rather recommended to our borrowers that they use a credit card debt settlement program over a debt consolidation program for our borrowers that have defaulted on their payment. Debt consolidation programs involve getting a loan to consolidate all your credit card payments into one monthly payment. The interest rate on this loan is typically higher than what the credit cards are so they don’t actually offer any debt relief. A debt settlement firm will work with you to produce a financial assessment, also known as an income and expenditure report. The debt settlement firm will decide how much you can pay to each creditor each month. They present this information to your creditors. The objective of the debt settlement firm is to get your credit card balances and interest rates reduced significantly.