What are some common ways for consumers to consolidate their unsecured debt?
Debt settlement / debt negotiation – This debt reduction option involves negotiating the principal balance owed by the consumer down so that it can be settled for less than the actual debt. It is in some cases the fastest and most cost effective debt consolidation option. This is the alternative offered by Franklin Debt Relief. Credit counseling / debt management – This option involves negotiating the interest rates charged on the credit cards. Credit counseling plans typically last between 4 and 5 years. Debt consolidation loans – This option involves taking out a loan to pay off any outstanding credit card balances. Normally it is secured by collateral like your home or vehicle. Unsecured debt consolidation loans are offered by companies like Citifinancial, Beneficial, and American General Finance. Credit card balance transfers – This option involves taking the balances of all your credit cards and putting them on another credit card with a lower interest rate or minimum payment. Cha
