One of the biggest problems that may benefit from Oregon debt relief programs is late payments for credit cards, contributing to the worsening personal debt conditions in the state. A significant number of Oregon residents are late in paying their bills by 90 days or more, which means that on top of the interest they pay on an average of $2,942 on credit card debt, they have to pay late fees and penalties. Rising unemployment may be the reason for this, which is 8.4% in 2012. With these disheartening statistics, Oregon debt relief is the solution. But which one?
There are several debt relief options, but for credit card debt and most unsecured debt, the best option would be debt consolidation. Unsecured debt is any loan or money owed that is not backed by asset or property.
Debt consolidation is either debt settlement or debt management. The main difference between the two debt relief options in Oregon is the involvement of the debtor.
Debt settlement is perhaps an debt relief option when no other is possible short of declaring bankruptcy. Debt settlement is appropriate for debtors who are financially incapable of paying off their unsecured debt of over $10,000 even over an extended term, and can prove it. The long-term unemployed, the permanently disabled, or someone with large medical expenses fit into this category.
Debt settlement involves negotiating with creditors for the partial forgiveness of debts to levels that the debtor can afford. Creditors faced with the fact of a default will be open to such negotiations rather than a total write-off of the loan. A debt settlement agency in Oregon such as CureDebt can help by providing an objective assessment of the financial situation of the debtor.
Debt settlement is the final solution for debt relief. CuraDebt is considered a good debt settlement service provider if debt settlement is indeed what is needed.
A debtor can expect to pay 5% initially payable over 3 months and a final 20% of the amount CuraDebt is able to save a debtor from paying. For example, if the original amount owed is $10,000 and CuraDebt can reduce it to $5,000, the debtor will be spend an initial $500 plus $1,000.
If debt settlement is not appropriate, debt management is the preferred debt relief option. Debt management also involves negotiating with creditors to reduce interest rates, late fees and penalties so that the debtor can pay off more of the original loan amount.
However, because the debtor is capable of paying off their debts albeit over longer terms, the goal is to help the debtor manage their finances to finally be free of unsecured debt. A debt management company like CareOne Debt Relief Services can provide help debtors manage present as well as future finances.
CareOne Debt Relief Services
A company with excellent consumer reviews, CareOne can provide debt relief at reduced costs to the debtor. They provide counseling, coordination with creditors, and assistance in developing a workable debt management plan that will eventually lead to debt freedom. Each debt management case will be different, so consulting with one of their Certified Personal Finance Counselors to conduct a debt analysis for free would provide a debtor a clearer idea of what the costs will be. CareOne is considered one of the best companies to help with Oregon debt relief through debt management.