Warning! The Hidden Truth About Dishonest Debt Consolidation Companies

By Dometri Quick

Did you know that you could be hurting yourself by consolidating your debt with the wrong company? Heres how you could be suffering.

Unnecessary debt consolidation fees

If youre in the market for a good debt consolidation company, chances are youre already struggling with money. Youve fallen behind on your credit card payments again, lost track of the mortgage or simply just cant afford to survive with all the debt youve accumulated. So, the last thing you need when you turn to a debt consolidation company is another headache, right? But the truth is that there are plenty of dishonest debt consolidation companies out there who will take advantage of your situation and make sure they take you for a ride and suck as much money out of you as possible.

The first thing youll notice about a dishonest debt consolidation company is that they will charge you unnecessary fees right away at the beginning of the consolidation process. Consolidation is a process whereby the debt consolidation company will contact all your credit card companies, arrange to pay off your debt to them or negotiate lower payments and thereby save you tons of money.

[youtube]http://www.youtube.com/watch?v=Shx8qUcpHNQ[/youtube]

However, consolidation companies typically only make their money by arranging all of this and taking a cut of your savings as their profit. Dishonest companies will charge you upfront for these services. Do not be fooled. Find a company that doesnt charge upfront fees and save your money.

No consolidation plan? Try again!

Another easy way to spot a dishonest debt consolidation company is to ask them what sort of plan theyre looking to establish for youboth now and in the distant future. Are they willing to tell you how theyre going to save you money, how soon you can expect to pay off your debt and what will happen if you struggle to finish the consolidation plan?

Most reliable companies will immediately establish a debt consolidation plan for you and show you exactly how to can expect to pay off your debt. In many cases, theyll also explain that if you are to falter, stop making payments or not use consolidation properly, youll be thrown off the program and back into your high interest agreements with creditors. How are you going to budget your money and make sure you can afford the new consolidation plan? An honest debt consolidation company will have all the answers and will be able to tell you exactly what to expect over the coming months and years.

Dont fall victim to companies that fail to establish a solid plan for you. Take your business elsewhere right away.

Ignoring the problem you have with debt

Has the consolidation company youve researched expressed to you that you have a problem with debt? Have they told you that you would no longer be able to use credit during the consolidation process? If they havent, theres something wrong!

An honest consolidation company knows you struggle with debt and knows that you need a way to eliminate the debt and keep it away forever. A good diet plan wouldnt force you to eat healthy but let you keep junk food in the cabinet, would it? So, why should a consolidation plan help eliminate debt but let you keep credit cards in your pocket?

A good consolidation company understands this, while a dishonest consolidation company merely says enough to get you interested in their plan and starts capitalizing off it immediately. Be sure to look out for the sure signs of a dishonest credit card company before you enter into any agreement. Youll be glad you did.

About the Author: Dometri Quick is the development director at

DebtConsolidationSupport.com

. You can find more articles for helping you eliminate credit card debt at

debtconsolidationsupport.com

.

Source:

isnare.com

Permanent Link:

isnare.com/?aid=235251&ca=Finances