Birmingham Credit Card Debt Negotiation
If used responsibly, credit cards are useful tools that can make people’s lives a bit easier. However, problems arise when you become too extravagant as a borrower that you start to live and spend beyond your means.
When this happens—your bills are already over your head and you don’t know what to do—it’s the best time to get a professional to assist you in a credit card debt negotiation.
When you start your credit history by using your initial credit card for small and manageable debts, making sure to fully pay them when the billing cycle ends, you can build an impressive credit score and profile. However, if you start accumulating debts and losing track of how much you spend using your credit card, the levels of your unsecured debts can be too much to handle.
Debt negotiation will prove helpful in this situation. Upon the approval of this settlement proposal, you will only need to pay an amount less than your total debt balance. The amount will be decided between you and your creditor and agreed upon through a legally-binding written document. Although your creditors are not legally required to accept debt negotiation offers, settling your debts through negotiation is a more common and helpful practice than others.
Our Birmingham credit card debt negotiation experts will guide you in handling your credit card debts, ensuring that you will make appropriate decisions in clearing them. We will not leave you through every step of the process but instead secure a fair settlement offer.
Call Optimal Debt Solutions at (313) 488-3144 for your Free Consultation now!
5 Signs That You Need Credit Card Debt Negotiation
Spending money can be fun, but only if you have lots of it to spend. Excessively using your credit card will undoubtedly become a problem that will negatively impact your household.
If you’re fond of using your credit card too much, pay attention to these tell-tale signs that indicate a serious problem requiring you to venture into credit card debt negotiation:
1. You only pay the minimum monthly payments.
Only paying the minimum required amount every month is an indication that you don’t have enough cash to dispose of and are just relying on your card more than you should. Although this is somewhat better than missing any payment, it certainly costs you more money (due to interest) and time. Also, paying only the minimum amount every month will raise your credit utilization ratio and drag your credit score down.
2. You use a separate card to pay another credit card debt.
Getting that 0% promotional offer to pay higher-interest rate credit cards is a good thing. It is a useful form of debt consolidation, but that’s not what we’re talking about here.
Bad things start to happen when you begin using cards with mid-level interest rate promos to settle your balances with other credit cards and manage your monthly cash flow. Utilizing outside loans, like a home equity credit line, to pay your other cards is also a grave indication that you’re already in too much credit card debt.
And if you take cash advances with 20% interest rates and other associated fees? That’s a whole different warning sign that you should start thinking about getting out of debt sooner!
3. You can’t be granted additional credit.
Being denied for credit card application or extension to your credit line is a pretty clear sign that you already need to consider credit card debt negotiation to gain financial freedom again.
Not being granted additional credit indicates that there’s something wrong with your credit profile.
It’s either you already have too many cards, your debts are too high compared to your income, your credit utilization ratio is extremely high, or something went amiss in your credit report.
If there isn’t any discrepancy in your report upon checking, but you are still getting fewer pre-approved offers, this is a sign that potential lenders are not impressed with your high credit card debt levels.
4. Your cards are not working properly anymore.
If you have been informed that your card didn’t go through during a purchase, that can be a warning sign that you’re close to maxing out your card and haven’t paid your accumulated credit card debt yet.
5. You don’t have a plan to get out of debt.
If you just had your first card, this isn’t something you should worry about too much. But suppose you already have many cards that have thousands of dollars of debt. In that case, it is high time to be responsible and think of an effective plan to relieve yourself of these balances. Paying in a timely and consistent manner will build your credit score and give you peace of mind. Do not wait until your credit card debt becomes too much to handle; find a way to be financially stable now.
If you want to talk about your debt issues, contact Optimal Debt Solutions, and we’ll talk about all the credit card debt relief options you may take.
2 Typical Approaches in Getting Credit Card Debt Relief
Debt Management Plan (DMP) is the most common approach people use to settle their credit card debts. This option is recommended if you have several credit card accounts with significant balances and high-interest rates.
Suppose Optimal Debt Solutions determines that DMP is the right solution for you. In that case, we will negotiate with your creditors on your behalf to give you lower interest rates and lower monthly payments as well.
Through this, you won’t be making several individual monthly payments to different credit cards anymore. Instead, you will only pay to one credit counseling agency that will properly divide your payments to different creditors.
Keep in mind that DMP has a drawback too. It will immediately close your account and will negatively affect your credit score. However, if you stick to your regular payments, you will recover a healthy credit score in time.
You have to remember that it takes a lot of time to complete DMP. It usually takes about three to five years. Still, eventually, it will lead to a debt-free life with an improved credit profile. It’s safe to say that DMP is worth every bit of your effort.
Debt Consolidation Loans are something you could also use to relieve yourself of credit card debts. You can take these loans out to pay high-interest credit cards and other unsecured debts with a low-interest or zero-percent introductory credit card promotions. However, although these cards are typically utilized, these low rates won’t stay down forever.
At Optimal Debt Solutions, we have a team of Birmingham credit card debt negotiation experts who can help you if you don’t think you can fully pay your debts by the end of the introductory period. We have extensive experience acquiring favorable debt consolidation loans for our clients by negotiating on your behalf for lower monthly payments and interest rates in various credit unions, banks, and other lenders.
However, remember that debt consolidation loans are secured. This means that you may lose your secured assets such as your home and car if you fail to pay.
Birmingham Credit Card Debt Negotiation Experts
Optimal Debt Solutions understands that overwhelming debts are too much of a problem already. We know that giving large payments for a professional to help you clear your debts is the last thing you want.
That is why our team guarantees that we will pave the way for your debt-free life without requiring unreasonable fees that will doom you even more.
Once you acquire our Birmingham credit card debt negotiation services, you won’t have to worry about any upfront or add-on fees to pay for. No signing fee, consultation fee, nor administrative fee will be demanded. You only have to worry about a settlement fee that will be required from you no earlier than after we negotiated on your behalf.
And you know what’s even better? Our reasonable fee already covers the whole credit card debt negotiation process. We are not one of those sales groups who will pass on your account and financial data to the actual company that will have your debt settled.
Our team of negotiation experts is highly skilled and experienced in acquiring favorable settlements for consumers. The track record of Optimal Debt Solutions is composed of completely satisfied borrowers. They found their ways to financial freedom through our professional services.
If you find yourself in too much debt right now and think that credit card debt negotiation is the right path for you, call us now, and we’ll discuss with you how to get your problem out of the way.
Credit cards can be helpful and fun to carry around. However, these should be handled with the utmost responsibility to avoid getting buried in debts.
If you have debt problems that are bigger than what you can only handle, know that it’s not yet too late to regain your financial footing. Talk to us, let us assess your situation, and allow us to negotiate on your behalf should we see it appropriate for your status.
Call Optimal Debt Solutions at (313) 488-3144 for your Free Consultation!