Sample Letter to Your Creditors for Debt Settlement

One of the most important rules to follow when it comes to debt settlement is to always communicate with the original creditor or debt collector through letters. It should be sent through registered mail with return receipt requested so that you have a paper trail of your transactions. If you are not sure how to go about writing a debt settlement letter, here are some samples to help you get started. Remember that you have to craft the letter to fit your unique situation so don’t just copy and paste. Make sure that you review it before sending so your letter becomes more effective.  

Part I of this report gives sample letters you can write to your original creditors. These include an unsolicited settlement offer, a letter countering a creditor’s offer, a letter of acceptance to a verbal offer, and a debt settlement agreement. Don’t forget to send your letters via registered mail with return receipt requested.

Settlement Offer Letter

Date

Your Name

Your Address (Street Number, Street Name)

City, State, and Zip Code

Your Phone number

(Name of Creditor)

(Creditor Office Street Number and Address)

(City, State, and Zip Code)

RE:  Account #_________________

Dear Sir/Madam (if you know the name of the person in charge, the better),

I have been unable to make payments on my account with your company which shows an outstanding balance of $___________ because of financial hardships that I am experiencing. (You can give a short explanation of what has caused the hardship but be professional in your explanation.)  

I feel that I have a moral obligation to pay this debt but do not have enough money to pay it fully. However, I would like to offer a settlement amount of $ __________ which will consider this debt paid in full.

I sincerely hope that you will be able to accept this offer inasmuch as it is all I can afford. Should you accept this settlement offer, please send me a letter stating that you also agree to these terms: 

1.    That you are accepting my one-time lump sum payment of $____________ as full payment of the outstanding balance of $____________ which I owe to your company and that no future litigation related to this account number will be filed against me;

2.    That you are going to report to the credit bureaus (Experian, Trans Union, and Equifax) that this debt has been “Paid” and that any negative listing related to this account be removed.

3.    That you are going to send proof that the debt has been satisfied as soon as my funds have cleared.

When I receive your letter agreeing to this settlement, I will immediately send you the agreed amount so I can get this burden behind me (you can also ask them to sign a debt settlement agreement that you have already prepared and send you a copy). I appreciate your consideration of my offer. Thank you very much for your time.

Sincerely yours,

Signature over Printed Name

Find more articles on debt settlement  by just clicking on this link: http://consolidatedebtguide.org

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·         Get Rid of Debts Through Consolidation Loan Debt Reduction

·         What You Need to Know About Debt Negotiations?

·         Debt Management Tips To Bring Your Life Back On The Right Track

·         Manage your Spending with Credit Card Debt Management

What You Need To Know Before You Enroll Into a Debt Management Plan

Don't drown in your debts, manage them instead! Rather than paying off many separate bills each month, you can use debt strategies to combine your monthly payments into one easy-to-manage bill per month. Debt consolidation gives you the power to get out of debt with the help of a certified debt consolidation agency. In order to properly manage your debt and help you to get rid o your debt in timely basics, a debt consolidation always goes with a debt 

management plan.

Your debt counselor from debt consolidation agency will normally ask you to enroll into one of their debt management plan. If you decide to enroll in a Debt Management Plan, do your homework before signing anything. Here are some guidelines for your reference before you put your signature on to the debt management contract.

1.    Check with the Better Business Bureau

You should short listed a few debt management plans offer by different debt consolidation companies; then, check these company's rating and their past performance records from Better Business Bureau (www bbb.org). Eliminate from those companies that have an "unsatisfactory" rating at BBB.org. Serious and unresolved complaints will be noted, and you can learn what other names the company operates under so you can look them up as well. Understand how they resolve complaints and whether they will pay your creditors on time.

2.    Understand the Fees

Debt consolidation is not free. Fees may include account set up fee and monthly processing fee. Ask for all the fees involved, including the potential hidden fees before you decide to enroll to the proposed debt management plan. Avoid services that need up front fee; the rule of thumb, If you're paying more than £50 a month, you're paying too much.

3.    Choose a Debt Consolidation Company that Can Handle All Your Accounts

Before you sign a contract, let the debt consolidation company know all your accounts to be consolidated and ask to confirm that they can work with all your creditors and consolidation all your accounts, not just a few.

4.    Be Wary of Company That Enroll You in 30 Minutes of Less

A counselor should spend time with you to understand your current financial situation and will make sure that the proposed debt management plan best fit you. In general rule, if a counselor enrolls you into their debt management plan without understanding your real debt problem, they won't work for your interests in the future either. Be wary of these companies that just want you to become their customer and don't care about your real financial issues.

In Summary

Debt consolidation with a good debt management plan will is able to help you to resolve your debt issues. While there are many reputable debt consolidation companies around in the market that really provide a good service to help their customers in resolving their debt issues, many are around just to earn profit and ignoring your debt problem. If you decide to enroll in a Debt Management Plan, do your homework before signing anything.

For more on debt management Plan, visit http://www.ezmortgagesolutions.net/

Some articles you may find interesting:

·         Debt Management Program – The Easy Way Out Of Debts!

·         10 Warning Signs that Tell You If You Have too Much Debt

·         All About Debt Management Services

Debt Management | Reasons not to File Bankruptcy

Although bankruptcy does give you the chance to start anew financially, there are still a lot of reasons why you should not. The most important ones are outlined below:

1.       Bankruptcy leaves a negative mark on your credit report. You might be able to discharge all your unsecured debts under Chapter 7 but you will have to live with this derogatory listing in your credit report for the next ten years (a Chapter 13 will stay for only seven years). It can lower your credit score and impact your chances of obtaining a mortgage, car loans, and other types of loans. This single act alone brands you as financially irresponsible and a high credit risk. This is not permanent, however. With sound financial management, your credit score will improve in time. But if there are things you can do to avoid going this route you should take it before considering a bankruptcy filing.

2.       It is not suited for everybody. Just because you are hearing calls from debt collectors left and right does not mean that you should immediately file. Generally, if you still have income and have less than $5,000 in unsecured debt, bankruptcy may not be a wise decision. However, those with debts less than this amount but want to save their house from foreclosure or a vehicle from repossession will consider bankruptcy a very viable alternative. Each case varies so you will have to take a long hard look at your finances to determine if it is right for you.

3.       It requires full disclosure of all your income, assets, and debts. If you are not comfortable with this idea, it might be better to consider other options, especially if you have some properties that you want to protect from your creditors.

4.       Your filing becomes part of the public record. Anyone who wants to obtain information about you and your bankruptcy filing can do so. Even prospective employers or business clients will know about it if they do a background check on you. These can negatively impact your personal and financial future.

5.       You have exhausted the only legal means of protection from financial disaster in the coming years. Generally, you cannot file again in the next six years. Even if you do your best to avert another debt crisis after your bankruptcy petition, you’ll never know if you will be involved in situations where you will be required to pay a huge sum in damages. Where will you turn to then?

6.       Your bankruptcy filing could affect other people. In a Chapter 7, co-signers in some of the loans you took out will still be liable for your debt even if you are already legally free from it. Unless you want to destroy relationships you have built over the years and contribute to their own difficulties, you should think your decision through many times over.

7.       Bankruptcy is a personal loss. Yes, you might lose all your debts when you get them discharged but it will be a loss to you. It’s an admission that you were remiss in managing your personal life and your finances. If you still have the chance to pay off your creditors without resorting to bankruptcy, you should take it. It will mean keeping your dignity and self-respect intact.

Find more articles on debt management  by just clicking on this link: http://consolidatedebtguide.org/

Here are more interesting articles:

·         Get Rid of Debts Through Consolidation Loan Debt Reduction

·         Understanding Debt Settlement

·         Debt Management Tips To Bring Your Life Back On The Right Track

·         Manage your Spending with Credit Card Debt Management

Consider Your Financial Retirement Options

When it comes to planning your retirement you will find that there are many options available to the savvy investor. The problem isn't necessarily in investment opportunities but the knowledge that is needed in order to turn those opportunities into wild successes. For this reason alone, I recommend that your first stop along the path to financial retirement investment be at the door of a competent financial planner.

Most of are more than willing to go to the experts for advice when problems arise and yet for some reason have major problems seeking the services of those who are trained to assist us in our financial planning endeavors. You should consider your options carefully and decide what is in your best interest. The best way to do this is with the information that a good financial planner can provide and by listening to his or her guidance.

One thing you will probably be told is the importance of diversity in your investment portfolio. We all have been told many times never to put all of our eggs in one basket and the same holds true when it comes to investing your retirement. All investments are a gamble; some carry more risks than others. You must keep in mind that every penny you invest is subject to loss however and make your investment decisions by how much of a risk the particular investment presents and how much you are willing to lose if the investment doesn't pan out.

Perhaps the most common investment choice for retirement funds is mutual funds. These offer the ability to invest long-term with lower risk than many other investment options you will come across. These funds present a higher risk than other investments but are a good moderate risk investment for those who have little knowledge of how the market actually works. There is a fund manager that is in charge of making the actual investment decision for the collective pool of the fund and his or her job to decide where to put the money for which they have been entrusted. This leaves the critical decisions out of your hands and off your mind.

If mutual funds seem boring to you, there are other higher risk investment opportunities in the form of stocks. 

I seriously recommend studying the market carefully and completely before making the leap into stock trading but this can be quite the short-term quick profit rush that you are looking for if you are willing to risk your retirement investment for the sake of increasing your net worth. If you do choose to invest in the stock market please take the time to learn the proper procedures, the risks, and the process before diving in. If you have a financial planner (and you definitely should) then he or she may prove to be an exceptional resource when it comes to the practice of 'playing' the stock market.

Securities are a very complicated process that many of us would feel better never needing to understand. If you need a little more adrenaline pumping, heart clutching moments when it comes to you financial retirement and are willing to risk the need to work for the rest of your life in the process you may find that this is just the boost for you. Be sure however, not to rest all of your hopes and dreams for retirement on the allure of securities trading as this is a very high risk field for those who do know what they are doing. For those who have little experience it can prove to be a financially fatal flaw.

Learning the ins and outs of the investment process in addition to the options that are available to you through the course of your own financial retirement planning is like going to war with the proper weapons and armor rather than a slingshot and a rock. The problem is that while there are some financial Goliath's out there that are simply waiting to be tamed, most investment strategies present their own unique needs that should be understood and monitored.

More on personal finance  can be found at www.ezmortgagecalculator.org.

Other articles you may find interesting:

·         Budgeting Without Guilt

·         10 Warning Signs that Tell You If You Have too Much Debt

·         Understanding Debt Management Services

Why Borrowers are Patronizing Payday Loans

Lending is one of the businesses that prosper today since it involves money. The fact that different financial institutions earn big from the interest rates imposed to the borrowers make online payday lenders grow their business even more. And now that shopping can be done not only in the supermarket but also through the internet, fast cash becomes more of a want than a need.

With this mentality that we have, no wonder that the majority are stressed emotionally and financially owing to the mounting charges and interests that they have to pay when using their credit cards for online shopping. Once an employee is left with no other recourse in meeting their financial needs, they would come to online payday lenders for help. Payday loans offer employees a source of fast cash but usually with a high interest rate that could range between 38%-1000% annually. But despite this high rate of interest charges, payday craze remains to be high among employees.

Why Quick Payday Loan Has Become a Craze?

It is a human nature of wanting everything to happen in an instant. That is what we have instant noodles, instant canned goods and of course instant cash when we need it in the form of a payday loan. This loan system involves the quick processing of a loan application that is usually granted within a day or less. To be able to avail of this, the main requirement in the borrower is merely an employment. The moment you need a money, online payday lenders are generous to grant you a loan with very few requirements in exchange for a high interest rate that goes with your loaned amount.

Payday loan has become a craze for many mainly because of its enticing feature of being able to get hold of quick cash when you need money. Notwithstanding the high interest rate, the fact that your loan application is approved so quickly is more enticing and it overcomes the risks of paying a higher interest rate that could even be bigger than the principal loaned amount in some cases.

Understanding the Payday Loan Craze

In an attempt to understand about the payday craze the psychological point of view about the payday loan craze is considered. Online payday lenders offer people the opportunity to provide an instant gratification in wanting or needing fast cash. The unconscious side of the brain has the id that seeks instant gratification with the impulses of desiring instant pleasure. It is this impulse that perhaps caused people to patronize payday loans as it can provide them an instant satisfaction of obtaining quick cash to meet their financial needs.

Online Counseling Agency As a Tool in Saying No To Your Instinct

Saying no to your instinct can be hard sometimes, but with the help of support system such as online counseling agency which is usually non- profitable group, you can still develop a habit of delaying your instinctive gratification, especially when it comes to availing quick cash. They will provide you with educational materials that would help you develop an effective budgeting plan. Aside from these educational materials, they also conduct seminars that tackle about proper management of monetary fund and how to spend it wisely.

If you need quick online cash advance, visit www.cashadvanceloanstoday.org

Other articles you may find interesting:

·         Effective Ways to Manage Money

·         How Can You Avoid Payday Loan Traps?

·         Factors Affecting Spending from your Retirement Funds

·         Creating a Personal Budget

Simple Ways for Home Makers to Not Feel Recession's Wrath

Recession, for the uninitiated, is the decline of the economy. It is a widespread decline in the Gross Domestic Product, employment, and trade, which lasts from 6 months to one year. One of its usual effects is running out of funds because of the high prices of commodity and the increase in unemployment rate. So, if you are running a household, how do you make sure the impact of recession will not be too much to bear for your family? Here are some anti-recession tips that you can find useful during these hard times:

Grow Your Own Fresh Produce.

If you have been relying on the supermarkets for your daily meals, it's high time to consider growing your own food. What can be better than taking advantage of your green thumb to avoid having to buy fruits and vegetables? If you are renting, growing vegetables and herbs in pots, also known as container gardening, can be useful. Mint, sage, rosemary, basil and thyme are great herbs for container gardening. If you do not have enough time, opt for low maintenance vegetables. Examples of low maintenance vegetables include garlic, onions, turnips, cabbage, leeks and kale. Now if you have a bigger backyard, growing your own fruits can be fruitful (pun not intended). Although this might require longer time since fruit trees can take at least about two years to yield crops. You can also do better in keeping a wide variety of your fruits and vegetables through trading with your neighbor's grown fruit trees, vegetables and herbs.

Make Your Own Meal.

If you have the time, learning how to bake can be one great way to spend your free time. Aside from saving money, it can also be one fun way to relieve your stress. Fast food restaurants can be very tempting but if you have the skills (or not, since you can learn to cook), then why not prepare your own food from your own grown fruits and vegetables and home-baked bread. If you think your skills are too limited, the Internet offers gazillions of simple recipes that even kids can make. Make your own coffee and you can also brew your own beer if you want.

Improve your grocery shopping habits.

With the right shopping attitude, you can reduce unnecessary cost. You can prevent yourself from succumbing into impulse buying. You can do this by creating a list of items to buy before going to the supermarket. One tip is to not go to the grocery to shop when you are hungry. Yes, hunger causes you to buy items you do not need. Buying all the items you need in one go can help avoid using gas for unnecessary trip and also get rids of temptation. Also, before you unloading your cart, check again which items you can do without. You will be surprised that there are just so many of the items that  you picked up that you do not really need.

Cut back on non-essentials.

You like soda? You like steak? But do you like to survive the recession? Then, cut on soda, meat and other non-essentials. You do not have to stop drinking soda or eating meat. But if you will only compute how much you can save without consuming any of these as often as you used to, you will see that it's enough to tide you over.

For more on personal finance, visit http://www.ezmortgagesolutions.net/

Some articles you may find interesting:

·         Debt Management Program – The Easy Way Out Of Debts!

·         10 Warning Signs that Tell You If You Have too Much Debt

·         All About Debt Management Services

Cash Advance Online Advantageous

In times of financial trouble, sometimes it could be very difficult to choose the type of loan to take out. There are so many things to consider. You have to make sure that you find the most reliable financial service provider, pick the best type of loan that caters to your particular situation, and choose a provider that could offer the most advantageous option in terms of interest rates and payment terms. Another consideration would be how fast your loan application would be approved. 

This is important, especially if you need the money to cover emergency expenses. These considerations often lead many people to payday or cash advance loans. For them this type of loan seems the only solution for their financial emergencies.

Why Cash Advance?

A payday loan offers very quick approval and can be used for almost any purpose. While there may be plenty of local lenders available to help you, you may not have the time to meet with each and every one of them and find out who among them offers the best deals.  So cash advance online becomes your most practical option. In fact, with so many online companies providing lending services, you shouldn’t be surprised to find some of the best deals on the internet.

Perhaps the number one advantage of cash advance online is that it is very convenient. With a local lender, you’ll have to go through a lot of process before you can actually take out a cash advance loan. First, you have to spend some time researching the company’s credentials and reliability. Then you’ll have to set an appointment with the advisers so that you can discuss all the fine points about the loan. When you go online for a payday loan, all these can be accomplished within just a few minutes. You only have to browse through the various lending websites, choose the most reliable one and fill out their online forms. Wait for a few more minutes and your loan application could be approved. Technology has made the entire process very simple.

Online payday loan providers are now very commonplace. In fact, it can even be said that there are more lenders who provide their services via the internet than those who do not. For the consumers, this is a good sign because the competition can definitely pull down the prices. Online providers are offering all types of deals in their attempt to captivate the most number of consumers. So consumers can now enjoy a lot of discounts and promos which can even lower the cash advance loan’s rates even more.

In addition to lower rates, consumers now have more options when it comes to cash advance online. In fact, online it’s easy to find cash advance websites offering numerous quotes from different lenders. The more options consumers have, the greater their chances are of finding the best deals for their specific needs.

For more on online cash advance, visit www.cashadvanceloanstoday.org.  If you need emergency cash advance, just click on the link to apply online: payday cash advance online.

Other articles you may find interesting:

·         Debt Management Program – The Easy Way Out Of Debts!

·         10 Warning Signs that Tell You If You Have too Much Debt

·         What You Need To Know Before You Enroll Into a Debt Management Plan

Living a Frugal Lifestyle

The word "frugality" has left a more negative connotation for most people than simply being a saver, a cheapskate or tightwad. There is a thin line difference to saving and too much frugality to the point of being awkward and ridiculous. This is where the negative connotation comes from.

But if you are guided with the right principles and reasons in deciding to live a frugal life, you would never go wrong.

If you have decided to live frugally, no need to be worried of insults. Keep your head up high.  And keep your focus through these tips.

1. Eating Out - Having gimmicks with friends on a Friday night is fine if you do it once in a while. But this can be expensive if you add them up at the end of the month.

2. Clothing - Naturally, if you are the kind of person who adores signature and designer clothes, do not expect that there will be something left of your take home pay. Instead of being trendy, wear clothes that can easily be matched with your other clothes.

3. Own Home - If you are planning to move out and find a place to settle, do not be overwhelmed by the excitement, instead be practical. As a start, buy a smaller house or try other ways like rent-to-own, do-it-yourself arrangements, and owner financing.

4. Buying Your Own Car - Shy away from sports cars or SUVs. Just stick to your purpose of buying a car which is to transport you anywhere you need to go. Check out also program cars like a new car warranty. Maybe this is not just the best time to replace your car with a new one.

5. Shopping for Groceries - As much as possible do not go with items that are branded. Choose non-brands and try looking for items on the highest or lowest shelves for best prices. Grab the opportunity and shop during sales or use coupons.

6. Family Out - There are inexpensive ways to bond with your family and be entertained like going to libraries, local parks, malling, picnics, visit friends and local church.

7. Buying School Supplies - Stock school supplies at home and do not buy anything fancy.

8. Be contented with what you have and try to live within what you earn.

9. Plan your Child's College Education - Teach them the ways to be independent and self-supporting by encouraging them to apply for scholarships and "on campus jobs".

10. Be Aware of your Financial Limitations

11. Anticipate your Failures by Planning - Have always a budget plan so you would avoid impulsive buying.  

For more on personal finance, visit http://www.ezmortgagesolutions.net/

Some articles you may find interesting:

·         Debt Management Program – The Easy Way Out Of Debts!

·         10 Warning Signs that Tell You If You Have too Much Debt

·         All About Debt Management Services