There is a life raft to hang on to! You just have to know where to look for it. The life raft is a program known as payday loan debt consolidation and it has helped thousands of Americans finally get rid of those pesky payday loans. Here’s a little information about how the process works:
- Discussion – When you initially sit down with your payday consolidation company they will require certain information from you in order to prepare your consolidation plan. This information can range from your income, to the names and addresses of your payday loan lenders, amounts of your debt, and list of your monthly expenses. Your income and expenses will determine how much each month you will be able to deposit into a new savings account specifically for your payday loan consolidation. You will not be required to deposit an amount you cannot afford.
Negotiation – Once the savings account set up for you has reached a certain balance your payday loan consolidation company will begin negotiating with your lenders to reduce the balances that you owe. The amount of the reduction will depend on how much you owe the lender as well as what the lender will agree to. Most lenders understand that a payment of some money is better than none at all. The negotiators at the company you have chosen will use the money you have saved to prove to the lenders that you will be able to pay back the loan.
- Consolidation – Once the negotiators and lenders have agreed upon an amount you will be contacted. The payday loan consolidation company will explain to you how much they reduced your debt and what it will take to pay it back. At this point, if you have more than one lender, the consolidation company will allow you to make 1 single payment per month, to them, and allow them to disburse it to the creditors as previously agreed. That way you only have to worry about mailing one payment per month, all the while knowing that your payday loans are on their way to zero.
With the interest and penalties that come with missing a payday loan payment it is easy to understand how they can quickly become overwhelming, but don’t let payday loan debt keep you under water any longer. There is a way out. A payday loan consolidation can have you back on your feet in no time. Fill out our no obligation form or call our toll free number today!