Michigan Debt Relief
With millions of Americans suffering the repercussions of high debt, it’s no surprise that state-funded debt relief programs are enjoying a swell of popularity. But why is it that thousands of people from this Midwestern state are turning to these programs for help? And how can you, too, make a financial switch in order to get on top of your bills and improve your life? In this article, we’ll explore some of the options open to you as you embark on your journey to financial freedom. Probably the best known option for Michigan residents seeking debt relief is a balance transfer. Balance transfers allow you to move large debt balances from high interest credit cards or other loans with high interest rates onto lower interest loans, thereby eliminating debt. Most balance transfers take effect within three years, although some lenders may extend that term if requested. The downside to balance transfers, however, is that they can often result in a lower credit score than your original credit rating. Balance transfers are popular among homeowners in the state because they allow them to free up some cash, ease their financial burdens, and get back on track financially.
Options For Debt Relief In Michigan
Another option for debt relief for Michigan residents is credit counseling. Credit counseling agencies provide personalized advice to help you establish a budget, avoid excessive credit card use, and regain control over your finances. The credit counseling services of a reputable agency will likely be covered by your health insurance coverage, which can make it easier for you to pursue these services. But credit counseling can be quite expensive, and it can be helpful for you to seek help outside of the insurance company’s network. Many non-profit credit counseling agencies offer free or at least discounted services for low-income families and individuals.
If you are already delinquent on your debts, contact your debt collector immediately to learn whether you still have the right to settle your account. In most cases, once a creditor receives notice that a debtor has opted for bankruptcy protection, he or she may not be able to pursue the debtor for payment. However, some creditors do continue to pursue delinquent borrowers for past due balances. To learn more about your rights as a debtor under the new bankruptcy law, consult a qualified attorney who is a part of the National Foundation for Credit Counseling (NFCC) or the National Consumer Law Center. Both of these organizations can provide you with the information you need to proceed with your options.
If you have no other choice but to work with a debt collector, always remember to be polite and address concerns in a mature and respectful manner. Speak only to the person to whom you are speaking, and give the collector all of the detailed information regarding your situation. Any conversation between you and a debt collector cannot be recorded by third parties, and you should not give any location information, work telephone numbers, or other specifics of your financial situation. Collections Agencies may call at all hours of the day and night. You should also keep a written record of all conversations with your creditor to prevent the possibility of future disputes. This means you should save all correspondence between you and your debt collector and keep a file of all phone numbers that are used to contact you. Should a dispute ever arise later on, it is important to know exactly who was involved in the call.