Payday Loans Among Options for Those in Debt
By J.J. CameronPayday Loan Writer
Let's take a look at the circumstances surrounding this consumer: Through medical expenses and a move across the country, she and her husband have over $25,000 in credit card debt.
As the couple's credit score has dropped, interest rates have risen and the duo can scarcely afford minimum monthly payments. Is applying for a payday loan the answer or are there other alternaitves?
First, you can back to the credit counseling agency initially contacted and tell it it want a plan to get out of debt. This may or may not be a formal debt management plan in which interest rates and fees are sometimes reduced, but it should at least be an action plan with specific steps for you to follow, one that doesn't yet require any faxless payday loans.
If a debt management plan is not for you, call your creditors. Explain about the medical emergency and ask for a hardship plan or an interest rate reduction. Many creditors will respond favorably to a well-documented history that shows events beyond your control caused your situation. Be sure you have a dollar amount you can afford to pay each creditor before you call.
Another option is to contact an attorney. First, ask that the attorney write and propose a repayment plan you can afford. Often, attorneys' letters get good responses. Then, if that fails, ask about a bankruptcy. The new rules make it more difficult, but not impossible, for you to get relief this way.
Finally, look into the possibility of a no fax payday loan. It can be convenient and affordable if you understand all aspects of it.
