If you have too much debt than you can handle and are struggling and stressed out to pay your creditors back, there is hope.

A choice that many people take is the long road of “just surviving,” having nothing in savings and barely scraping by to make ends meet.

The problem with this option is that when one bump in the road happens such as an unexpected medical bill, job loss or financial change.. than filing bankruptcy is staring you in the face.

However, living paycheck to paycheck is like living on the edge of a financial crisis.

In fact, you may even be in one as you read this.

So, what do you do if you want to get out of debt when you owe crushing amounts of money?

Most people don’t know the option of settling their debts which is better than filing bankruptcy.

Yet even then, most people are not fully educated on how to settle debts on their own or the benefits of having a professional debt settlement company take care of it all for them.

Here are the differences between settling your debts on your own verse using a professional.

Steps To Help You Settle Debts On Your Own

1. Keep track and know your debt amount: It is essential to know precisely how much you owe creditors including the interest rates and total debt amount. If you do not know this, then it will be difficult to negotiate with creditors.

2.Negotiate with the creditors: Once you have your total debts and interest rates in order the next step is to call up your creditors and have a conversation. Just be honest and explain your situation to them. They should see the trouble you are facing and work out a plan for you to pay your debts back. The negotiation is the most crucial aspect of the debt settlement process because it will finalize the amount you will pay back.

3.Payback strategy: You must have a payback strategy and if you would rather pay back your debts in increments or all at once. Depending on what you negotiate, you may be able to decide on which options are best for you. After all, if you file bankruptcy, then the creditors will not benefit from any negotiation.

If you cannot resist the temptation to spend when you see money in your hand, create a bank account just for settlement purposes.

4.Get it in writing: Before you agree to anything, make sure get it in writing. Some creditors may try to slip in different terms in an agreement sent to you. So, make sure whatever you are reading is the same as what agreed upon in your conversation.

5.Make the payments on time: It is important to always make your payments on time. If you don’t, that may put the agreement you made with your creditors in jeopardy. Hence, make sure you take the steps necessary to back your debts as agreed upon.

Paying Back With The Help of Professionals

Now that you know how to settle your debts DIY style.

What are the benefits of having a team of qualified debt experts working to settle your debts for you?

The major benefits you have when you choose to go with debt experts are:

Higher debt reductions
Faster settlements
Not having to hassle or deal with angry creditors.
Here is how you have a professional help you settled your debts:

Schedule a free debt consultation with a team of debt experts.

It will take some time for the company’s representatives to verify your documents and see the amounts you have due.

You should also open an account to deposit the amount agreed upon to settle your debts until they are fully resolved. Once this is situated, they will then meet the creditors.

Typically, when a team of debt experts agree to take you on, they usually settled your debts between 24-28 months and reduced your debts as high as 40-50%.

They also do not charge a fee until the first settlement occurs. Any company that asks for money up front is not a company you want to go with to have settle your debts.

When you stick with the program and are faithful in making your payments, you will then be debt free and can start rebuilding your credit.

Conclusion

Hiring a team of professional debt experts to settle your debt for you is always an easy method because they usually handle everything for you.

The debt experts will send veterans in who can maximize results in reducing the loan payback amount for you.

However, it is always better for you to weigh both options and if you are feeling like facing the creditor giants have at it!