Debt is a subject rarely brought up in polite conversation, however more than half of the U.S. population is in debt. And like many people know too well, one bad day can lead to a snowball effect where debt grows from a mild annoyance to an avalanche of stress. There are various ways to get help if you're drowning in debt. Bankruptcy is always an option, but one that has downsides. There are also companies that provide debt consolidation, but have hidden dangers. There is however a better solution to debt consolidation provided by Pacific Debt, a company that has been helping people get out of debt for over 16 years and which has earned multiple accolades from their now debt-free customers and consumer advocacy groups including the rare A+ rating from the Better Business Bureau.
What is Pacific Debt?
Pacific Debt is a debt settlement program. They do not provide Debt Consolidation that requires you to apply for and obtain a new loan in order to pay off the entire amount of your existing debt. Put simply, they negotiate on your behalf to reduce the amount owed to your creditors and due to the confidence in the skill of their negotiation experts they are able to provide a lower monthly payment rate than most clients have now.
How Can Pacific Debt Help?
Pacific Debt is a solution for those struggling with too much credit card debt and seeking an alternative to bankruptcy. It can help people take control and get their finances back on track. Pacific Debt does not require any new loans and there are no credit qualifications. They seek to provide cash flow relief by negotiating with creditors on your behalf. Once a negotiation has been reached and approved, your program payments will be used to pay off the reduced balance, rather than feeding the cycle of endless minimum payments.
Pacific Debt assigns a Personal Account Manager who works with the creditors to negotiate on your behalf, and the best part is that you only pay for their services when they're successful in lowering your debt. The service cost depends on a variety of factors but there are never any upfront fees and all costs are rolled into your monthly program payments
Why Is Pacific Debt Better Than Bankruptcy?
For some, bankruptcy may seem like the only option, but it can have serious long-term effects on credit and often lead to more problems.
- Filing for bankruptcy is not free. Even with an attorney the average price for declaring bankruptcy is between $1500 and $4000.
- For up to ten years, credit bureaus are entitled to keep your bankruptcy filing on your credit report.
- Filing bankruptcy means losing your credit cards, and it may be difficult to apply for new ones.
- Bankruptcy paperwork requires that you reveal all of your debts as well as all of your assets.
- A bankruptcy filing is also a matter of public record for anyone that wants to know about it.
Why Is Pacific Debt Better Than Debt Consolidation?
There are two types of debt consolidation:
A secured loan is a type of consolidation usually resulting in a lower interest rate than your present one. This lowered rate must be secured with some form of collateral, like your house, your car, retirement funds, and so on. If, for any reason, you cannot pay back what you owe, the debt collector may go after what was put down as collateral. For a secured loan, the repayment period is usually longer than any other kind of loan, meaning there's potentially a wider window of time where something could happen that might make you lose the collateral you pledged.
An unsecured loan is when a loan that is issued and supported only by the borrower's creditworthiness, rather than by any type of collateral. However many people do not qualify as it relates to their credit rating. If you're approved for an unsecured loan, it's important to pay attention to the fine print since some debt can be non-transferable and the low-interest period is most likely to be limited. All of these factors will lead to a lower than advertised APR often defeating the purpose of getting your debt consolidated due to the fact that many consolidation loans carry interest rates that are as high or higher than a typical credit card.
What kind debt can Pacific Debt help with?
Most "unsecured" debt is allowable in the program. These debts generally include credit cards, medical bills, unsecured or personal loans, retail debt, debt owed after repossession, and accounts in collections. Certain unsecured debts such as student loans, payday loans, consumer finance loans, legal judgments as well as medical debts not in collections, may not qualify for the program.
I'm interested, what are the the next steps?
The first step in the debt settlement process is to have a free phone consultation. Give them a call at (888) 585-9209 or fill out a quick questionnaire to see how they can help you.
*Clients who make all their monthly program deposits pay approximately 50-55% of their enrolled balance before fees, or 65% to 85% including fees, over 24 to 48 months (some programs lengths can go higher). Not all clients are able to complete the program for various reasons, including their ability to save sufficient funds. The estimates are based on prior results, which will vary depending on your specific circumstances. Pacific Debt does not guarantee that your debts will be resolved for a specific amount or percentage or within a specific period of time. Pacific Debt does not assume your debts, make monthly payments to creditors or provide tax, bankruptcy, accounting or legal advice or credit repair services. Pacific Debt service is not available in all states and our fees may vary from state to state. Please contact a tax professional to discuss potential tax consequences of less than full balance debt resolution. Read and understand all program materials prior to enrollment. The use of debt settlement services will likely adversely affect your creditworthiness, may result in you being subject to collections or being sued by creditors or collectors and may increase the outstanding balances of your enrolled accounts due to the accrual of fees and interest. However, negotiated settlements Pacific Debt obtains on your behalf resolve the entire account, including all accrued fees and interest. C.P.D. Reg. No. T.S. 12-03825.