American Debt
Foundation
http://www.americandebtfoundation.com
Debt Management is a system to help
those in debt become debt free. Our Debt Management Plan is a simple,
systematic way of dealing with your debts.
Our clients pay us a single, monthly fee
and we then distribute this between each of their creditors. This means
all their debts are consolidated into one single, affordable payment.
Not only are they consolidated into one monthly payment, in almost all
cases we can reduce the total amount they pay each month by up to 75%.
This is due to the fact that their creditors know they have a debt
management company working on their behalf and we can work to get the
creditors to lower or freeze their interest rates. Also, they no longer
have the stress of dealing with their creditors; we do it for them!
The simple payment they pay is based on
their income and expenditure. This means that legitimate living expenses
such as mortgage, phone and food are removed from their income so they
only pay what they can afford.
Difference between debt management and
debt consolidation
The principle behind a
debt consolidation loan is that if a person owes money to multiple
creditors, they borrow a large, lump sum to repay their creditors and
are then left with one creditor and one monthly repayment. The idea is
that the repayments on this single, larger loan will be lower than the
sum they are currently paying.
This works very well if the person can
easily afford the repayments and they are just looking for a way to
simplify things and bring down the interest rates. However, there are
many people that struggle to meet the repayments each month. Some of
these even find that their outgoings each month exceed their income.
These people are classified as being in debt and a debt consolidation
loan will not actually get them out of debt and will not alleviate the
problem. A debt management plan is a method for reducing their debt and
allowing them to become debt free. It will consolidate all their
repayments into a simple monthly payment and it does not involve them
taking out another loan.
American Debt
Foundation
http://www.americandebtfoundation.com
