How to Deal With Your Past Due Account By: www.newhorizon.org
Are you having problems keeping up with your monthly credit card bills and/or loan payments? • If you are then, we’re certain that the constant reminders and harassing calls you receive from your creditors, demanding payment are starting to get on your nerves.
Is there a way to attain immediate relief from your financial obligations? Yes there is: simply pay off your past due accounts, RIGHT AWAY!
Don’t have the money to pay even the minimum amount due? Here is what you should do . . . .
Speak with your creditor. • Never try to hide or ignore a creditor’s attempt to contact you. • You do not want to wait until your debts are in collections to start negotiations. • If you work with the creditor they will lower your monthly payment for a while or even defer it for you. • By being proactive you can avoid a lot of late fees, and since a repayment plan is in place, most creditors will not report you as late on your credit report. TIP: Here’s what will happen if you will avoid your debt collector..
Work out a settlement. • Before you start repayment, call them. • Work out a repayment schedule that you can comfortably make each month. • Ask them to remove the late fess.
Push the envelope. • Don’t just ask for a little bit off. • Start off asking for all late fees removed, reduced principal and removal of the negative item from your credit report. • If you don’t ask, you never will get. • The longer you haven’t paid on the debt, the more likely you are to get an amazing amount of the principal taken off.
Consolidate past due accounts. • If you are dealing with multiple debts, you may consider taking out a debt consolidation loan to pay off all your past due accounts. -- This way, continuous debt accumulation due to the monthly interest rates and late fees, can be avoided. • If you are dealing with credit card debt, another way to consolidate credit card accounts is to apply for a new credit card with zero interest rate on balance transfers. -- Thus, you can concentrate on paying only your original debt without incurring APR charges each month.
File for bankruptcy. • Before you decide to take this path, you have to work with a credit counseling service. • You can no longer just file bankruptcy on your own. • The Agency will go over your financial obligations vs your ability to repay. TIP: Guide in Filing Personal Bankruptcy
For more information: http://www.newhorizon.org/credit-info/how-to-manage-a-past-due-account/
If you want to consolidate your debt check our list of debt settlement services here: http://www.newhorizon.org/Info/debtconsolidation.htm