Thursday, December 11, 2008

5 Options to Get Out of Debt

I am the kind of person who is not afraid to take risks and even use credit cards when necessary just to push through with an idea or project I have in mind. Knowing that I have this risk-taking courage, I decided not to have my own primary credit card and just resort to being a supplemental cardholder.

Different countries have their own approaches in collecting debt. In the Philippines, due dates are important. You'll get calls and warnings for missing payment whether it is for credit card, direct selling, and anything that has a due date marked on.

In Australia, I noticed that collection policies are more considerate. In direct selling entities, you have the option to pay only what you can at the moment although this hampers your ability to make successive orders. Once fully paid, you can resume doing business again.

In the U.S., there are debt consolidation companies can be tapped to help out in managing your payments and create a re-payment program that will work best for you. A good scheme ideally should have low monthly payment, low interest payment, and friendly terms in case you'll be able to fully pay it off early.


The site,, has advice on bill consolidation and options that I find interesting. This includes options worth exploring such as:
  1. Use your assets, like home, to shift your credit card bills from unsecured to secured debt. This allows you also to re-negotiate the rates and terms.
  2. For properties, another option will be to re-finance and get better terms
  3. If you don't have your own home or equivalent equity, you can still avail of credit counseling and debt settlement options.
  4. There's nothing to stop you as well from making calls and inquire of options available to reduce the interest you are paying now.
  5. If the above does not work, debt settlement entities can be tapped for the task.
The amount of information on the site is more than helpful. I think the use of videos, images, and illustration can help the site better in sharing more information about the subject.