I bet you've seen and heard those words a thousand times in cheesy, emotion-provoking advertisements. But don't be fooled. These companies charge large fees to "lower your debt", and you will probably just end up with more debt than you started with. They most often work with the creditors by paying them late and months later making offers to payoff at much lower amounts than owed (if they keep up with your account), all the while still charging you the same amount of money.
You are better off using strategies on your own to pay off your bills. Don't be afraid of your debt. Take the emotion out of the equation. Take charge of your finances.
- Don't open any more lines of credit and stop using the credit cards/credit lines you currently have. Cash only (or bank debit card only).
- Pay essential first: food, electric, mortgage/rent.
- Get current on your bills. If you do not have enough money coming in, get a second job (this doesn't have to be permanent).
- Write out a budget each month and follow that budget. When the money runs out. Stop spending.
You can get yourself out of the mess and back on your feet again. But don't let yourself be taken in by scams. It takes a lot of work, but you can do it.
Reference: Dave RamseyPhoto by Jenn_Jenn. Some rights reserved.