1. Debt Settlement
If you have outstanding personal unsecured debts, you can easily negotiate with the creditors to reduce the amount you owe ($ or principal) and the amount of interest charged. The process of negotiating with creditors to reach a more agreeable amount to be paid is called as debt settlement. In most occasions, you have to involve a debt settlement company and/or a lawyer in a bid to make the creditors agree to a compromise with you about the debts. This could be in form of a one-off settlement of a new amount which is lesser than the previous amount, or making regular installments of the new lower amount or even coming to a consensus to cease to pay the amount on the account completely.
2. Debt Consolidation
Just like debt settlement, another relief found Ohio is debt consolidation. It is the consolidation of several loans or debts whereby they are put together and offered in form of one loan. The reason for consolidating your debts is to offer an easier method of repaying them. This can be accomplished by lowering of the interest rate, an extension of the periods to be taken to repay the loan or both. Debt consolidation is something that can work well, for those who have some problems with the repayment of the loan. It can give them some break and help to overcome a financial crisis easily. But anyone wishing to embrace debt consolidation should bear in mind that the whole process is not a magic wand to make the debts go away. There must be a strategy that has to be followed to come out of the debt phase, and that plan must be diligently followed. So, Tax Resolution Attorneys in Ohio can guide you step by step the whole process without confusing you.
3. Bankruptcy
As we known, bankruptcy aims at offering debtors the chance to get release from their debts which can include individuals, businesses and even city. In Ohio, there are six types of bankruptcy: Chapter Seven, Chapter eleven, Chapter twelve, Chapter thirteen, Chapter fifteen and chapter twenty. There are three different types and the most well-known is Chapter 7 bankruptcy. This type of bankruptcy entails selling of some of your assets to cater for the debts that you have incurred. It is worth to note that if you have a lot of assets or if you owe a lot of money then you cannot file for Chapter 7 bankruptcy. Chapter 7 bankruptcy is perhaps the most popular one and to apply for it you have to take a means test, that considers your earnings and spending.
4. Credit Counseling
There are many different varieties of credit relief, Credit counseling is one of the most common kinds of debt relief that can serve you well when used appropriately. The Tax Resolution Attorneys in Ohio will then assist you in making a strategy that you will need to pay off your debts and even rebuild your credit score. Credit counseling is not available for students in Ohio, although there are many qualified counselors who can meet your needs. Considering the fact that debt issues are among the major problems in current societies, credit counseling can be an option you need. It’s your counselor’s role to assist you in developing an appropriate strategy with a focus on eliminating your debt and how you can qualify for good credit. It also means they can be of great help in giving advice and sharing the experience all along the process. Non-profit credit counseling agencies also assist you to prepare a budget and offer suggestions to cut down the expenses. They also sometime assist you, to talk to your creditors just to lower your rate of interest, or to let you off the hook on a fee.
5. Refinancing
In refinancing, you acquire a new loan to repay the earlier ones known as the loans that were taken earlier. This new loan usually comes with a low interest rate than the previous loan hence being cheaper in the long run. However, there are some points that one needs to consider when doing the refinancing. First, as with all debt, ensure the interest rate being offered is lower than the current interest rate being charged. Second, know about other costs involved when getting a new loan such as closing costs. Last but not the least; verify that you can be able to afford the monthly installments.
Debt Relief: How To Find the Right Program That Meets Your Needs
At Stamps & Stamps, Attorneys at Law, Tax Resolution Attorneys in Ohio offer free consultations that can help you understand your options and choose the right one for you. You may contact us by calling us or online right away!
