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Debt Relief

Is There a Difference Between Debt Management and Debt Consolidation?

What is the best way of paying off debt with debt management in Tucson? This is a question asked by many people that are in debt all over the United States. Debt is one of the leading causes of divorce. When one spouse has overwhelming debt and no where to turn they often seek help with debt management in Tucson. There are a number of different debt management companies in Tucson that help people get out of debt and back on their feet financially. Explore the options below to determine the best way of paying off debt with debt management in Tucson.

Some of the most popular debt management solutions in Tucson are debt consolidation, counseling, debt settlement, bankruptcy and debt negotiation. Discussing each and every debt management solution with an accredited company professional can be very time consuming and discouraging. Going through a counseling session can take an equally long time as the other options. If a person feels that they need extra guidance and think that they can handle all of the debt management solution information at once then a counseling session may be just what the doctor ordered.

If someone does not have the means to pay off a large debt then they should consider consulting with a debt management agency. Many credit counseling companies will assess a person’s income and then look at their credit score. If the credit score is too low the credit counseling company might provide some valuable information that can help improve the credit score. Sometimes a credit counseling company can even negotiate a payment plan that will allow a person to gradually catch up on their debt.

For some people the best way of paying off debt is to use free money offered by the government. The United States government has a program for providing money to individuals who are having financial difficulties. Qualifying for this government money is fairly simple. All that a person needs to do is explain to the government worker that they need money to pay off debts. Many times a loan will be provided to them to help them pay off their debt. The money that is received from a government grant will be tax-free and can help an individual to reduce their debt and rebuild their credit score.

For those who are interested in bankruptcy there is always another way to avoid it. Bankruptcy should only be used as a last resort when all other methods of debt management have been tried and nothing else works for an individual. It is important to remember that filing for bankruptcy will leave a mark on the credit scores for seven years. This can make life very difficult. In addition to the fact that bankruptcy will leave a bad credit score a person will most likely not be able to get any type of credit for seven years.

When choosing a debt relief company it is important to check references and ask about certifications. There are debt companies out there that are certified by the Better Business Bureau but not all of them are. A good debt relief company will be certified by at least one third party agency. Checking to see how many certifications a company has will help you to make your decision. Choosing the right company with a reputable history and credit counselors with extensive experience will help get you on the road to financial recovery.