Key Traits of a Reliable Debt Relief Company

The State of Louisiana is known for its sweet jazz music and rich culture, but a dark side to the state is that many residents struggle with debt. Credit card debt in Louisiana is particularly problematic, with an average balance of $5,400 per household and the highest rate of debt-to-income in the nation. Debt relief companies are available to help Louisianans overcome this issue and get back on their feet.

Finding a good Debt Relief Company in Louisiana starts with research and education. There are many for-profit companies with poor track records, so it is important to evaluate each option before committing to one. It is also important to fully understand the long-term impact of any solution on your credit history and score.

There are several different types of debt relief options for Louisiana residents, including credit counseling, debt consolidation loans and debt settlement. Debt settlement is the fastest and most aggressive option to reduce your debt, but it requires patience and a firm commitment to repay what you owe. Debt settlement companies negotiate with your creditors on your behalf to reduce your outstanding balances. They also charge a fee for their services, which typically ranges from 15-25% of the total amount of debt settled.

Other forms of debt relief include credit card consolidation loans and debt management plans. Debt consolidation loans can be used to pay off multiple unsecured debts, such as credit cards and payday loans, and combine them into a single monthly payment. This can simplify your budget and help you manage your debts more effectively. However, you must be able to meet the requirements for a debt consolidation loan, which usually includes having a credit score of 650 or higher and reliable income to support repayment.

Lastly, debt management plans are a more flexible and customizable option that allows you to consolidate your unsecured debts with a credit counselor. A debt management plan will create a monthly payment schedule that reduces your outstanding balances and lowers your interest rates to make it easier to repay your debts. However, you will be required to work with a credit counselor to complete this program.

The best debt relief option for a Louisiana resident will depend on their individual circumstances. For example, the State of Louisiana has some of the longest statutes of limitations for debt collection, and bankruptcy is an option to consider if you cannot afford to repay your debts. The state also has several programs to assist families in need, such as Family Independence Temporary Assistance and Child Care Assistance for Families.

If you are struggling to manage your debts, the Money Fit team can help! We’ve helped countless individuals find the right solution to tackle their outstanding balances. Contact us today to learn more about the services we offer. Our experienced and compassionate team is here to answer all your questions and guide you through the process. We look forward to hearing from you!