As banks begin scrambling out of bankruptcy filers these days in order to refinance or simply not pay their current creditors, banks and other lending companies are offering alternative methods for negotiating loan terms with creditors. Many of them are offering easy and immediate ways to ensure a borrower becomes fully and totally debt free without ever having to worry about repaying with a loan.
The first major attempt by banks and the companies they serve very much was targeted at borrowers who have a history of high levels of debt and a good credit rating. Unfortunately that strategy is failing to stem – it is still happening.
Many of the best interest consumers have a very shaky good credit rating and would never qualify to buy a home, real estate, or even be classified in any way as debt slaves. And most of them have no history of credit checks or dues of any kind or any form of checks at all. What is being offered to them is very different from the typical bankruptcy filing or personal debt consolidation programs.
Most of this unethical and unnecessary debt reduction and debt counseling work is being done for one or more of the companies that are offering it. But many keep repeating the same false and deceptive tactics these banks and their family and friends have been using throughout the whole process of becoming debt slaves.
For the most part, we just “want to be free” or “suspect no bounds” and don’t bother to look for other solutions. We choose to seek the assistance of companies to solve our financial difficulties. No, what we do is subject our own financial situation to the shadow of what other people are dealing with at hand. So it is only up to us to ask if there is anything we can do for ourselves to ensure that we continue to spend what we have earned, and that we live within our means!
Accordingly, the Bankruptcy & Consumer Credit Counselling Company or BCCT is one of the organizations that offer the same services to their clients. The purpose is to develop a set of financial habits that will hopefully serve as a stepping stone to eventual financial freedom for themselves for life.
So what is it?
In summary, it is a financial plan that will include from the very beginning, the repayment of all of your debt, a thorough investigation of all of the loans you currently have, a discussion with your creditors and/or with your lenders, which will in turn lead to a better relationship with your creditors (the lender is your financial guru). If you have any questions or concerns on any of this, you are asked to call your local (and maybe other) bank, etc.
So how does this work?
Usually, this is done through the financial planner that is part of your budget and includes all of your spending and all financial information. You can also mail or phone your budget to ask for an estimate and to work out the specifics of the budget as to how much it will take to free yourself of debt from all of your existing loans and loans.
Sounds good, right?
Of course, if you are completely sure that all of the above is the plan you need to follow, you need to do the work in self-discipline. You don’t want to spend all of the money that you borrow each month on debt management and education expenses that will only balloon to the maximum level after you have paid all of your credit card debts, as they will sit there for years.
So you may find that things just don’t seem to go as planned. But that is not always the case. Different people have different financial needs. That is why it is important to be upfront about your financial situation. This includes finding out a plan that will work for all of you.
When establishing a credit history, it’s essential that you keep this report from being stolen, abused, or that information utilized in making a negative credit report. Even though it is totally normal for a credit report to contain unfavorable information, an important part of a successful background check is being able to make sure the information is accurate.
When investigating your credit report, there are a number of things you can do to take this report in order of importance to your credit history. To begin, you should review the names of important people that are included on your report, and determine whether the information contained on your report is accurate. For example, you may have individuals that are listed as having credit issues with names’t Draco, Joe or Rita, but are listed as 80 years old or older. The majority of people who are listed as 80 years or older are merely elderly individuals on inactive status.
By looking around, you are able to determine which persons on your record are not of significant importance to your credit history.