Debt is usually caused by either spending too much or earning too little. Either way, a debt counseling service may provide the relief you are looking for. A good debt counseling service will carefully evaluate your circumstances and advise on the best approach to overcoming the problem.
People can get trapped by consumer credit deals offering no repayments for a period of time, overly optimistic that they will be able to afford the repayments when they finally fall due. However, consumer credit is usually at a very high interest rate and combined with credit card debt, can set people on a fast track to financial ruin. With rising costs of living and wages that haven't kept up, even people who are gainfully employed can struggle to keep up with all their financial responsibilities.
A debt counseling service may organize debt consolidation at a lower interest rate so your monthly repayments are reduced. For some people, this is all that is necessary, their biggest problem being credit card interest rates. However, for others debt consolidation would not reduce their outgoings enough because the debt is too high. In these circumstances, a debt counselor may negotiate directly with the financial institutions to reduce payments to affordable levels.
People who have equity in their own home are in the best situation when it comes to consolidating debt at a very low interest rate, and getting their lives back in order. A debt counseling service will look at this as the first option. People who rent and do not have property are in a more difficult position, but counseling can still help them turn around their situation and regain control of their lives.
Much of what a debt counseling service does involves negotiation; negotiation with their clients and negotiation with financial institutions. Most people simply do not have the skills or emotional strength to do this for themselves. Having an advocate can make all the difference, protecting you from the manipulation and high handed tactics many credit card companies will employ when they deal directly with you.
Some people are afraid to approach a debt counseling service for help because they believe that doing so will hurt their credit rating further and they will never be able to borrow in the future. Don't let this stop you. Former bankrupts can and do borrow, so someone who has made arrangements to pay off a debt isn't going to find themselves unable to borrow on a home in the future.
If you are drowning in debt and are stressed to the eyeballs, it's time to take action. Stress kills people, relationships and futures. Help is only a click away.