Christian Credit Consolidation - Is Debt Settlement A Moral Solution?
Many Christians who are seeking consumer debt management online will encounter a new and innovative approach to debt consolidation known as debt settlement. Debt settlement, also known as debt negotiation or debt reduction, involves negotiating with credit card companies to lower the amount that a consumer owes. In exchange for a lump sum payment of between 40 and 60 percent of the debt, a creditor will oftentimes agree to "charge off" the rest of the balance. A creditor typically only agrees to this because they believe that a consumer cannot afford to pay the debt back in full, and that not accepting the settlement will only result in the consumer filing bankruptcy or costing a lot of money in any collection efforts. In order for a credit card company to even engage in debt negotiation, however, a consumer must be behind on their payments. This being the case, some people who are current on their monthly minimum payments willingly and knowingly become delinquent in order to push a creditor to accept a settlement of the debt. Because of this some Christians have spoken out against debt settlement, arguing that this approach is against the wishes of God, Jesus and the Bible.
In order to determine whether debt settlement is an ethical debt solution to your financial problems, any Christian must ask him or herself, "Can I realistically pay this debt off without debt settlement?"
If you have tried consumer credit counseling, are experiencing a financial hardship (divorce, medical issues, employment problems, etc.) or your payments are too high, then debt settlement is not only the best option for you, but it is also the most ethical one since the only other debt resolution alternative at this point is bankruptcy. For Christians who are behind on their payments and experiencing a financial hardship, debt negotiation is a route to be proud of following, not something to be ashamed of. With many Americans filing bankruptcy each year, debt reduction is the honorable choice to achieve debt freedom.
Christian Debt Management Companies - Can They Be Trusted?
Like most things in this life, the legitimacy of any debt management varies widely, even if they advertise that they are run on "Christian-based" debt elimination principles. Before choosing a debt consolidation company, one must look beyond the surface advertising claims and seek straightforward and unbiased appraisals of any agency they are considering. One way to find a reputable service is to fill out a form here at PayingPaul.Com, and we can direct you to a debt consolidation company we know can help you. Another great resource to check into is the Better Business Bureau (BBB) . Any company that has an inordinate number of complaints is probably best to be avoided because it shows that many of their customers were left unsatisfied by the services. You should also consider using a non-Christian company if you feel confident that they will service your needs. Ultimately, your financial & debt situation is too important to risk with a potentially substandard program.
If you are interested in having PayingPaul.Com match you with a pre-qualified and reputable provider of debt help, simply fill out a form and get a free consultation within the next 24 hours.