- Decrease their payments
- Minimize their interest
- Limit creditor calls
There are two distinct types of debt consolidation solutions:
- Debt Management (Includes Consolidation)
- Debt Consolidation Loans
Each solution has its advantages and disadvantages. We will discuss these below.
Nebraska Debt Management
Would you like to get rid of debt more quickly, with more affordable rates and penalty charges? Then you might want to enroll in in a Nebraska debt management plan.
These programs, usually affiliated with one of a credit counseling agency, allow you to pay off 100% of what you owe in 3-5 years through a single consolidated monthly payment, as well as decreased interest rates, payments, and penalties. Creditor calls are typically reduced, especially since they are asked to contact your Nebraska debt consolidation company, not you directly.
Typically your creditor will start offering these perks after three successive payments are made. Importantly, your creditor does have to accept this program. However, they usually do, as it means a greater likelihood that you will pay off what you owe. If you are looking for debt consolidation in Nebraska, this is one of the cheapest, easiest, lowest-risk options.
Debt Consolidation Loans in NE
If you’ve got good credit, you might be able to secure a Nebraska debt consolidation loan to pay down what you owe. All those payments you were delivering to numerous card issuers will be superceded by one payment each month, your loan payment.
Typically, you need to own your home to qualify for such a loan. Also, most candidates for debt consolidation loans in Nebraska have fantastic credit and substantial earnings, since these are crucial if you want to arrange a loan at an inexpensive interest rate. You also have to be careful. Since these loans are typically home equity loans and therefore secured by your home, you are exchanging unsecured debt for secured debt. That means you could actually lose your home if you default on this loan.
Given these considerations, it’s really best to speak with one of our debt professionals before pursuing a debt consolidation loan.
Evaluating Your Debt: Nebraska
To determine which debt consolidation approach meets your needs, you need to understand how much debt you’ve got relative to your income. Preferably, your monthly debts will make up roughly one third of your income. These debts include ones that are secured and unsecured:
- Credit Card Balances
- Any Loans
- Rent or Home Loan Payments
Consider what this means for the average person in Nebraska:
- Annual Income: $35,238
- Monthly Income: $2,937
- Recommended Debt Load: $1,057
- Excessive Debt Load: $1,469
Debt load greater than 50%? Then you really should consult a debt consolidation professional near you.