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Consolidating Debt? 5 Warning Signs Of A Shady Debt Consolidation Or Debt Management Company
Unfortunately, not all debt consolidation companies are legitimate. To avoid the shady companies, educate yourself on the debt consolidation process and watch out for these warning signs. Quote Unusually Low Monthly Payments A debt...

Debt Consolidation and How it Impacts Your Credit Rating
Debt is not a high commodity. Across the universe, people are not looking for a place to sign up for more debt. In America, over 30 million consumers’ credit scores teeter under the score of 620. Nonetheless, personal debt can be a debilitating...

Debt Consolidation Loan Helps You To Manage Your Debt
Debt is a source of finance that helps you, to fulfill your desires. In the past, you must have taken debt from more than one lender to meet your funds requirement. And now it is becoming difficult for you to handle so many lenders at one time....

Debt Management and Consolidation
How do you know that you are in DEBT? How do you know that you are really in deep DEBT? Do you think you need DEBT MANAGEMENT or DEBT CONSOLIDATION ? This are the questions that most professionals will ask you about. If not, you will ask...

Risks Associated with Secured Debt Consolidation
Consolidating many small debts into one large debt is well known to be a good first step in getting out of debt, but that's not to say that it comes without risk. The main reason for this risk is that in order to secure a lower interest rate...

Can Debt Consolidation Help You Avoid a Financial Emergency?

Studies have shown that most filed bankruptcies are caused by a few specific reasons. Unexpected medical bills, divorce, and unemployment are the three biggest causes behind bankruptcy. However, these things alone do not usually lead to bankruptcy. Usually, people who are financially in jeopardy find themselves unable to avoid bankruptcy when these things occur. The signs of bankruptcy, though, are usually present long before bankruptcy actually happens. You may be vulnerable:

•If you are living paycheck to paycheck. If you are unable to put any money aside after you have paid your bills, then you are very vulnerable. If your paycheck were interrupted for any reason, such as unemployment or illness, you would not be able to afford living without borrowing. If you are living paycheck to paycheck, you would not be able to afford any debt payments or any unexpected expenses. Debt consolidation can help by helping you figure out where your money is going and by helping you afford your bills.

•If you have no savings. If you have not put any money away then any financial emergency such as unemployment or illness can leave you without money for the basics. With no savings, you would have to borrow in order to pay for the basics in case of an emergency, a risky

practice that can quickly lead to unaffordable debt.

•If you have no financial emergency plan. Many people panic if they are unemployed or are faced with divorce or sudden expenses. This can be dangerous, especially if the panic leads to non-action. Just as you have a plan in case of a fire in your home, you should have a plan for dealing with a sudden financial emergency. Your plan may include assets you can liquidate to make money or extra expenses you can cut. By acting on your plan as soon as emergency happens, you can avoid bankruptcy.

•If you have large debts. If you have lots of debts, any emergency may make you unable to meet your debt payments, leading to bankruptcy. Debt consolidation can help you avoid bankruptcy by making your debt payments affordable and by helping you pay down your debts.

About The Author

Rachel Smid is a research analyst for and now hopes to share her expertise through publishing information on consumer credit. She wants to help others in their financial planning and debt managment. For more free tips, articles and debt resources, please visit