The debt management plan and credit card debt The debt management program is a program which was designed to help consumers with credit card debt. These programs often consist of effective credit counseling solutions, which consolidate all monthly obligations into one lump sum. In addition to the consolidation of all monthly obligations, consumers will then have to worry about one monthly payment instead of the several they may have outside of a debt management program. When trying to pay down credit card debt, it’s extremely important for consumers to try and get inside these programs to reduce or even eliminate the debt completely. These solutions are extremely effective, and have far more benefits than just this one.
When considering a debt management plan, consumers will be able to lower their interest rates. They say the average US consumer tends to have an interest rate of at least 24% or higher. The good news for consumers, is that when entering these types of solutions consumers can often lower the interest rate to under 10%. When consumers make the minimum payment on this new annual percentage rate, consumers will see a great deal of the minimum payment go towards the actual balances owed. These solutions work wonders for consumers who want to get out of debt. When the creditors lower the interest rates, that consumer will then find that a good percentage of the minimum payment will go towards the balances. This will assist in removing stress, as the balances will work to get closer to zero. It’s always recommended that consumers shred any credit cards they have prior to entering these programs. These solutions are designed to help consumers get out of debt, and not designed just to lower interest rates. By getting rid of the credit cards entirely, the temptation on possibly using the credit cards again would not be possible. When trying to repay credit card debt, it’s important for consumers to pursue a debt management plan as it’s the best possible program when it comes to debt relief. Visit to know more at www.debtmanagementprofessionals.net
Debt Management Professionals