The impact of your choice
Are you bombarded with choices to reduce your debt? Of course you are,
but you should have two goals: reduce your debt AND protect your credit. When you are offered a fast way out
of debt, you can take the bait for a quick fix but you will pay a huge price in the long run - and years more with a poor credit score!
(Explain my options.)
Your Credit Score - Borrowing Money At Better Interest Rates!
Better credit scores give you access to money at lower interest rates - it is that simple.
As the graph shows, either consolidation or settlement will take you credit score down
for quite some time before you can start the rebuild. It may take years to get it back where
it is today. With Debt Navigator, your score does not drop from present day levels and can only go up if
you stay with the plan.
Cost Of Consolidation
Consolidation is typically done by a 'not-for-profit' and they expect a 'donation' of $5 to $10
per credit card per month until you pay off your debt.
So, if you have 5 cards, you will pay $60 per card per year (or $300 per year).
Six cards - $360 per year, --- you get the idea. If it takes five years and you have six cards in the program, your
'donation' will be about $1,800. This is in addition to
a startup fee that usually exceeds the total cost of a debt navigator plan.
And it is not until you are all done with the program that you can begin working to rebuild your credit score back to where it was.
And it is not until you are all done with the program that you can begin working to rebuild your credit score back to where it was.
Cost Of Settlement
Settlement is truly ugly. The pitch is you are out of debt in as little as 2 to 3 years and pay around
half of what you owe. To start you are told to stop paying your debt for six months - so your credit score hits the floor.
Then you pay back around half to the settlement company. What they have done is arrange to pay your lender 25% to 30% of what you owe.
But you pay them 50% to 60%. The settlement company pockets the difference - thousands of dollars at the expense of YOUR credit score.
They got you out of debt - and made pretty sure you will not be able to borrow at a reasonable interest rate anytime soon.
Price Of Debt Navigator™
The initial analysis is $139 - the cost of consolidating between 6 and 7 credit cards,
far less than the thousands paid to any settlement company, less than half of some telemarketing firms AND all with no damage to your credit score.
This includes a full year of recasting your plan if your situation changes.
Subsequent 12 month periods are currently $29 - if you think you need a major revision to your plan.
There are no catch up fees. If you skip a couple of years and then come back - simply pay the 12 month renewal fee. Can you really afford to delay improving your credit
score?
Get Started with your plan today.
