Symptoms of Too Much Help

If you are dreading the task of paying bills each month, chances are you know that you have trouble. You may be paying the bills and then facing not enough money to meet your basic needs. You may be skipping some payments because there is just not enough to go around. You may be more than a month late, and creditors are calling. The emotional and potential consequences of these situations are all negative. You are worried and anxious; there is discord in the family; the stress can cause serious physical conditions, to include ulcers, high blood pressure, heart disease, even stroke. The situation is not worth the loss of peace and joy. You can brink back the blue bird of financial happiness, no matter what your situation is.

If You Are Current

If your bill payments are current, but you are struggling with finances to make them, you need to consider a bill consolidation loan. The goal is to roll all of your current debts into one large loan, the payment for which is lower than the combination of the former payments. If credit is still good and you have equity in a home, an equity loan or complete re-finance mortgage, taking enough cash out to eliminate the credit and revolving debt, is your best bet. Interest rates on these types of loans will be less, and the money you pay back is re-building your equity. If you do not have mortgage equity but your credit rating has remained excellent, you can probably get a personal loan from a credit union or bank.

In any consolidation of this type, you need to be certain that you cut up your credit cards, leaving only one for emergencies, until the consolidation debt is completely paid off. To get back into the debt cycle again, would be reckless and only result in more debt payment.

If You Are Not Current

If you have late or missed payments, your credit rating has been damaged, and you will not able to access home equity or secure a personal loan. In this instance, you will need to employ the services of a reputable consolidation specialist. There are a number of nonprofit organizations which assist you in this endeavor, as well as for profit firms. Both firms will charge fees for the services they offer, so be careful in researching and selecting that consolidator that best meets your needs and whose reputation you have checked out. Good consolidators will provide other services as well, such as counseling, the development of a realistic budget, and follow-up to be certain you keep on track as you make your new payment each month. They will give you strategies to change your spending behaviors and to ensure that you can stay on track and get that joy back into your life.

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