A seasoned Atoka debt settlement firm should be able to settle your credit card debt for less than you ever thought possible. At Debt Consolidation Tennessee, we can help you find a debt settlement company in Atoka that will work to decrease what you owe. There are absolutely no obligations, and it’s totally free.
Finding a Debt Settlement Company: Atoka, TN
Don’t trust some unethical agency. Any good debt negotiator will give you the following information before signing up:
- Fees: all fees should be fully enumerated.
- Schedule: they must tell you when they will get in touch with the credit card companies, not to mention how much money must be saved.
- Dangers: they must tell you about the negative effects for your credit ratings
Make sure to find out whether your Atoka debt settlement firm is reputable. Research how long they have been settling debt, how many cases they’ve managed, what their rate of success is, what their fees are, and be sure they’re registered to do business in the state of Tennessee.
Negatives to Debt Settlement: Atoka, TN
Debt settlement programs offer up some big advantages:
- Only Pay 40-80% of Original Amount Owed
- Significant Savings in Interest
- Quick 2-3 Year Schedule
- Adjustable Payment Plan
- Alternative to Bankruptcy
However, it requires serious consideration. How much will a debt settlement agency in Atoka, TN, save you? Get a cost-free debt evaluation!
To leverage the lowest reduction in debt they can, your debt settlement company will probably ask you to stop repaying your creditors. Your funds will enter a bank account. After there is enough saved to pay the negotiated amount, your card balances will be paid off. For the time being, your FICO score gets even worse. Plus, the collection agency calls might not end. In accordance with relatively new FTC rules, this savings, or “special purpose” account has to:
- Be at an FDIC-insured institution.
- Give you unrestricted access.
- Not charge you for pulling out funds.
As a resident of Atoka, you need to understand the statute of limitations on debt:
- Statute of Limitations: 6 years
- State Law: 28-3-109
- Details: www.lexisnexis.com/hottopics/tncode/
How can you tell if debt settlement is right for you?
- Have you been considering declaring bankruptcy?
- Do you have $10,000 or more in debt?
- Are you okay with bad credit?
If you fall into this category, you’re not alone – 1,161 of Atoka’s 11,724 residents owe at least this much debt.
Your credit specialists will want to look at your debt to income ratio, or DTI.
Basically, if you are devoting over 50 percent of your pay to credit cards, home loan, and loans, you’ll want to talk to a debt relief coach. Seeing as the average income in Atoka is $4,052 each month, we’re talking about $2,026. You really want to have a ratio that’s nearer to 36 percent, or $1,459 for the average Atoka resident.
Consolidating vs Negotiating Your Debt in Atoka, TN
Debt settlement is often confused with debt consolidation. They are wholly different. Debt settlement involves a reduction in your debt, and consolidation or management won’t.
You repay your credit card issuers each month during credit counseling; therefore your credit rating isn’t affected as badly as it is during a debt settlement, during which you stop paying back your creditors. However, debt consolidation generally takes longer and in the long run you’re going to pay off every cent you owe.
Go here to learn more about credit counseling in Atoka, TN.
Rates for Debt Settlement
Being the most drastic debt relief option for residents of Atoka, debt settlement is generally the most expensive. The majority of settlement companies will charge you around 15 percent of your debt – that’s a whole lot! Though you should not have to pay unless they go ahead and settle your debt.
What about debt settlement attorneys in Atoka, TN?Believe it or not, a law firm may actually be more expensive than using the services of a debt settlement firm. Whereas virtually all debt settlement firms do not ask for a monthly charge, many attorneys do. That’s fine, but they are entitled to a hefty chunk of your debt savings. The proportion differs, but it’s normally roughly 30%. Normally, this ultimately ends up being more expensive than a debt settlement company.
Atoka, TN Debt Settlement Specialists
- Tennessee debt settlement company? Contact us for a free listing!