How to Find the Best Debt Consolidation Company

Debt consolidation is a form of debt management that allows you to find a loan to take care of all your impending debt while still protecting your credit rating and future borrowing power. When you are considering a consolidation option, one of the most important things you need to do is make sure you are working with the best debt consolidation company and experienced credit counselor for your specific financial situation. But, before you do this you need to take the time to gather all your documents to make sure you have a good representation of what that situation is. This is how you will be able to find the best company and credit counselor for your situation.

Most debt consolidation companies will offer you a variety of services which can be used separately or together and should include debt negotiation, debt consolidation and credit counseling. They should recommend them more together though as that will bring about the best results for you. Make sure they are certified in what they are offering and don’t be afraid to ask for references before you decide to work with them. You should never be ask for payment up front or before the services are rendered. This is not a standard practice among debt management firms, nor is it legal in most states. Most importantly, you need to work with a company and counselor you can trust. Trust your instinct when choosing someone to work with.

Debt is a difficult thing to deal with and the more you ignore it, the worse it gets. You don’t have to live a life buried in debt and worried about the future. Instead consider debt consolidation and find the best consolidation company for your financial situation to get you the help you need fast. You can start to see results instantly and get on the right track to learning how to handle money in a smarter way that both plans for the future and helps you clean up the past. You are worth a stronger credit raFor nearly a year, Jacob Polansky dreamed of buying a black, Honda CBR 1000. At least once a month, he would pop into a motorcycle store, sit on, as he called it, “the black beast,” and dream about the day he would one day drive it home. There was just one thing standing between Polansky and his dream – a poor credit history.

It’s the same story for millions of Americans. They can never seem to achieve that dream of buying the bike, the car, the house because of their debt and credit history, and it’s usually at this point they turn to a credit counseling organization.

They aren’t hard to miss. Just turn on your TV, your radio or open a newspaper and an ad is there, promising to erase credit problems. It sounds like a magic wand, touting to make horrors disappear and give you happily ever after.

Just remember, all that glitters isn’t gold, and while credit counseling can indeed open up worlds of wonder, just be careful and ask the right questions.

In fact, the Federal Trade Commission on its website says consumers can save a lot of money by doing it themselves because “…only conscious effort, and a personal debt repayment plan will improve your credit report.”

Check your credit

Deciding it was time to take control of his future and dreams, Polansky logged on to, where he not only got his credit score, but a detailed credit report on what his creditors were saying about him. He also signed up for their alert system, allowing him to track changes on his report.

“Whenever there were any changes to my credit, I would get an email alerting me of the problem,” he said. “This way I knew what was happening and could act quickly.”

Polansky chose to pay for his report, but under a new federal law, consumers can receive a free copy of their credit report yearly form each of the three nationwide credit reporting companies –Equifax, Experian, and TransUnion. The three companies have a central website,, where consumers can go and request a copy of their report.

Do it yourself, or go to a pro?

Once he had the report in hand, Polansky’s next step was to come up with a plan. He wavered between calling and negotiating with his creditors himself or hiring a credit/debt consolidation counseling firm.

“I always heard horror stories about these companies,” he said. “People talked about the high fees, with little or no results. I couldn’t afford to get into any more financial messes.”

Use resources around you. Financial institution, local consumer protection agency, and friends and family can usually offer good referrals. If there is a local university, it probably has a nonprofit credit counseling program, so do credit unions and the U.S. Cooperative Extension Service.



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