Author Archives: Orlando Torres

Consolidating Your Debts

Debt Consolidation

When you move to consolidate your outstanding debts, you’ll be obtaining a new loan called a consolidation loan. You’ll pay off the old debts with the new consolidation loan and then have one payment – usually at a lower APR and for a fixed term limit of three to five years. The lender (a bank or credit union) will pay off your existing debts with the loan you secured and you’ll now be responsible to pay off that loan and any other new debts you might incur […]

More info
Leave a comment

The Difference Between Consumer and Non-Consumer Debts

Debt and Credit

It’s imperative that you know the difference between consumer and non-consumer debts and how each may affect your credit and your lifestyle. The difference in the two types of debts lies in the manner they’re treated when it comes to taxes, annual percentage rates, terms of agreement and collateral you may offer. A non-consumer debt is usually covered by an asset which is expected to appreciate in value, such as a home. The asset acts as collateral for the loan you receive from a lending institution, meaning […]

More info
Leave a comment

Credit Counseling Agencies – Do They Really Help?

Debt and Credit

Credit counseling or debt management services can help you get out of debt by providing you with a debt management plan to pay off your current debts. Never use a for-profit credit counseling agency. Non-profit agencies are available that will not only help you get out of bad debts, but which will also help you consolidate your outstanding loans such as auto and student loans. Your initial contact with a non-profit credit counseling agency will involve a meeting with a credit counselor. He or she will ask […]

More info
Leave a comment

Negotiating for Tax Relief

Dealing With Debt

Receiving a letter or other type of contact with the Internal Revenue Service can be scary and intimidating – especially if you don’t know or understand your options. Never ignore the problem, but meet it head-on. Hoping it will just go away isn’t an option. Written correspondence from the IRS is a red flag that you should take immediate action. That may mean that you can try to negotiate with them for some type of tax relief. Always respond as soon as possible to any communications you […]

More info
Leave a comment

DEBT: A Four Letter Word That Could Ruin Your Life

Debt and Credit

We all know that too much of a good thing isn’t good for you. Too much debt isn’t good for you either – but neither is too little debt. When you’re in debt to the point that you can’t make payments on time and your credit score tanks, it can make your life miserable. Some necessities, such as a home in which to live or a car to drive to work and back, may not be available if your credit score is low. If you have no […]

More info
Leave a comment

Are You in a Debt Spiral?

Dealing With Debt

A debt spiral is pretty much like a bad nightmare where you’re falling into nothingness and can’t get yourself out of it. Many people go through debt spirals in their lifetime because of unforeseen expenses, loss of a job or medical crisis. Sometimes it’s by no fault of your own that the debt spiral occurs, and other times it’s because spending habits were out of control. Whatever the reason you find yourself in a debt spiral, it’s time to spend less, make more money – or both. […]

More info
Leave a comment

How to Deal with Debt Collectors

Dealing With Debt

Those harassed by debt collectors often panic from the pestering. Constant phone calls, being abusive on the phone, calling at work or late at night are not acceptable and should not be tolerated. If you have an outstanding bill and are being harassed by debt collectors, you should know your rights. For example, ask for a written notice stating how much you owe, who the creditor is and your rights from the debt collection act if you believe you don’t owe the demanded money. You should receive […]

More info
Leave a comment

Steps to Financial Freedom

First Step

Realizing financial freedom means you can finally live the life you want. It’s a tremendously freeing achievement that can help you feel secure, but it’s elusive for most of us unless we take the proper steps to achieve it. Paying yourself first is the first rule to achieving financial freedom. That means each pay day you should make it a habit to transfer part of your income (10 to 20 percent) to an investment account – and forget about it. Another step to financial freedom is to […]

More info
Leave a comment
1 2