Many companies today offer debt management services to aid you in rapidly paying off your debts. They say they can dramatically lower the amount of debt you owe to credit card companies by negotiating on your behalf with them. This is true. These debt management providers also offer to make your life easier by giving you one payment per month that you pay to the debt management company and then they pay your credit card and other debt payments on your behalf. This is also somewhat true. What many of these debt management companies don't want you to know is:
1) Your credit gets flagged and penalized for having used a debt management company and your credit can often get trashed in the process of negotiating for a lower debt obligation.
2) The work you will have to do for the debt management company to set up your account with them will actually take more time and effort than if you decided to get control of your finances on your own and create a budget and a rapid debt repayment program.
3) The amount of money you will give to the debt management company each month will often be equal to or even a little bit more than the total you're currently paying monthly to pay debts - a lot of the 'savings' they will negotiate for you will actually end up going into their pocket to cover the costs of the service they provide.
So, why not try creating a debt management plan for yourself? The simple debt management wizard below will allow you to quickly and easily generate a rapid debt repayment plan (or debt snowball plan as some call it) for up to five accounts, right here, right now.
Debt Management Wizard
Grab your recent credit card, mortgage and car payment statements and enter them below in the order that you want them paid off. Prioritizing your debts by the interest rate you're paying on each debt is a good strategy for maximizing your interest savings. For each debt, enter a description, the current monthly payment you're paying, check if you've already made a payment for the account this month, enter the current total balance of the debt and what annual percentage rate you're paying. Don't worry if you have a credit card that has more than one interest rate applied to different parts of your balance - just take the highest rate you're paying or a ballpark average and move on to the next debt - we're going for a rough estimate here. Then, press the 'Generate Debt Management Plan' button and let the Debt Management Wizard take care of the rest! At the bottom of your personal payment schedule will be a paragraph describing the time and money you can save by following the plan.
If you have more than five accounts you want to include in the debt management wizard, you can try Millionaire 2020™ budgeting software which includes the Debt Hammer™ - a hard-hitting, simple and easy-to-use debt management tool.
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