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Yes - consolidating debt into a repayment plan or option shows you are taking positive steps to address debt and pay it off - although your credit score may be low it should improve as you tackle the outstanding loan sum.

However a bankruptcy indicates you have no funds to pay off your loans - as a result it will be marked on your credit file and you will have difficulty in obtaining credit from lenders until quite some time has passed.

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Q: Is debt consolidation better than bankruptcy?
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Is debt consolidation a better than bankruptcy?

Answer Bankruptcy is a complicated process and it should be a last resort as it will damage person's credit for up to 10 years. Consolidating debt is always a better way to solve debt problems and protect the financial future. Bills has information and interactive tools to help consumers navigate through debt successfully.Answer :Yes, debt consolidation is better than bankruptcy.Bankruptcy may have a lasting impact on your credit report which will affect your ability to get credit at favorable interest rates.So debt consolidation is better to solve your debt problems.


Is bankruptcy or consolidation better for your credit?

If the referrence is to a consolidation loan then that depending on the party's financial situation would be a better choice than BK. If the issue is whether a chapter 7 or 13 BK is the best choice, it is always preferable to pay debts even partially. However both are detrimetal to credit history. A 7 remains for 10 years a 13 when satisfactorily discharged remains for 7.AnswerAlways debt consolidation is far better. Bankruptcy should be your last resort as it affects your credit score badly for years to come. In debt consolidation you pay the debt consolidation company the repayment amount and they will inturn pay your creditors in such a way that your rate of interest is reduced. You can even go for debt settlement where your debt levels are reduced.


Where can I find good debt consolidation online?

There are many choices in debt consolidation, some have better results than others. One of them with a web presence is DebtConsolidation.com.


Where can one find a Christian Debt relief agency?

"There are several organizations that offer Christion debt relief. They may or may not fit your needs better than other forms of debt relief, and I would doubt that they would be any better than many secular organizations. Some organizations that state they offer this service are Debt Free Christian, Christian Debt Consolidation, and Nationwide Debt Reduction."


What are consolidation bills?

Consolidation bills are the new bills to be paid after one has gotten into a debt consolidation program. Before debt consolidation one might have five monthly payments on five different loans. After debt consolidation, those five payments are rolled into one payment which is usually lower than the total of the original five.


Does using a debt management company ruin your credit?

Yes, it does... Debt Consolidation hurts less than Debt Settlement.


How do debt consolidation services work?

Most debt consolidation services work by consolidating your debt into one loan. The debt consolidation service will pay off all of your debt balances and then make a loan to you for the amount of your debt plus any service fees. Normally the consolidated loan will have a lower interest rate than your previous debt balances.


What is better debt settlement or consolidation?

Hello There,Honestly it depends on your financial situation. In nutshell1. If you are paying all your monthly payments on time, you think the interest rate is very high, You are VERY concerned about your credit scores, you dont mind paying the complete amount.... just want the interest rates to be lower and the monthly payments slightly down, cannot afford to talk to creditors or collectors on phone..... then Debt Consolidation is the option for you.2. If you CANNOT afford your monthly payments at all, you are late on payments, or you are somehow managing to pay the minimums... If your credit scores are not the top priority in your life, if you are considering to file for a bankruptcy, then opt for Debt Settlement.Thanks!This is not legal advice...... Answer: {| |- | The most common debt relief options are: debt consolidation and debt settlement. Debt consolidation has a minimal effect on your credit. Debt settlement will have a larger effect on your credit. When a debt is settled for less than its full value, the creditor will note that on your credit report. |}


Taking Control of Debt?

When your debt is out of control, you will want to begin considering consolidation. Debt consolidation is a fairly easy process, but you will need to know the best features to look for in a consolidation plan before applying. You will still pay interest on your consolidation loan, although it will definitely be lower than what is charged by a credit card company. When choosing consolidation, debt will be lowered significantly if you can find an interest rate below nine percent, which is less than even the most affordable credit card interest rates.


How can debt consolidation help a consumer repay debt faster?

Debt consolidation loans can be powerful repayment tools. With a lower interest rate, more of your payment goes toward paying off the principal rather than the interest, helping you to save money and get out of debt faster. affordabledebtconsolidation.org


Is Debt Settlement easier than bankruptcy?

It depends on the amount you in your debt. If your debt is a large sum and figure, the best and most ideal thing would be to declare bankruptcy. If not debt settlement would be much easier.


What are the advantages of credit card consolidation?

Credit card consolidation consolidates all of ones debt. Credit consolidation makes it easier to pay off ones credit card debt with a lower interest rate than most credit card companies.