Confused by the endless terms surrounding debt management? Fearful of the stack of bills that continue to pile up on your desk? Trident Debt Solutions can help. A team of experts that have been helping people just like you since 1990, they have intentionally stayed small to keep the business on a more efficient, personal level. By getting to know their clients they are better prepared to help you come up with a course of action that will benefit you and appease your creditors.

The team at Trident Debt Solutions won’t mislead you with a lot of empty promises. They will tell it to you like it is, guide you with care and provide the accountability you need so that you don’t face the same situation ever again. They will inform you of the pros of debt consolidation that will leave you with one low, manageable payment as opposed to several high payments you can’t make. They will show you the cons of debt consolidation that include risks to your home and the equity you have in it.

For More INformation and to find out if Debt Settlement is for you, Call Steve Craig at:

303.520.3414

Colorado Debt Settlement

When looking for debt relief, it is important to do some research to figure out which of the several options is optimal for your situation. The Internet is a great source, but always be sure to check the credibility of a particular article or website. Here is a brief overview of the major debt relief options and whom they work best for.

Debt Consolidation Loan

In a debt consolidation loan, you use one loan to pay off various other loans or lines of credit. This loan will generally have a lower interest rate, as well as a lower monthly payment. The payment you make to this loan is distributed amongst your creditors. The most common type is a home equity loan, or second mortgage, in which your home is used as collateral. A debt consolidation loan takes several years to pay off, and you pay the entirety of your debts, plus interest. This debt solution works best for people who still have relatively good credit, resulting in a lower interest rate on this loan, and have substantial equity in their home. It is best for people who are only trying to get out of debt, not overhaul their financial habits.

Consumer Credit Counseling Services (CCCS)

In consumer credit counseling services, you have new and hopefully expert eyes take a look at your debt situation to offer advice and solutions. They provide different strategies for debt solutions, and take your entire financial situation into account, rather than just your debt. While they work with creditors to reduce your monthly payments, you still pay the full amount of your debt, and credit counseling also has a negative impact on your credit rating. Keep in mind that CCCS was originally established by credit card companies to help track down people who were not paying their creditors. CCCS works best for people with less than $10,000 in debt and have verified they are working with a reputable company.

Bankruptcy

Filing bankruptcy should definitely be a last resort. The two types of bankruptcy applicable to consumers are chapter 7 and chapter 13. In chapter 7 bankruptcy, your assets are liquidated and your debts are eliminated in one quick move. Only people with low income, few assets, and a demonstrated inability to pay their debts once their basic needs are covered, quality for chapter 7. In chapter 13 bankruptcy, you set up a program through a trustee in which you pay a portion of your debts in a plan that works for you. Chapter 13 bankruptcy is best for people with high income who are facing foreclosure or tax problems. Although bankruptcy seems like a quick and easy fix for debt, keep in mind that it remains on your credit record for 7 to 10 years

Debt Settlement

In Colorado debt settlement, you take a lump sum of money, or make high monthly payments into a trust account until you have a lump sum of money, which is then used by the firm or company you are employing to negotiate with creditors. You pay a portion of what you owe and are absolved of your debts. Although it affects your credit score negatively, most debt settlement programs are completed in less than two years, meaning you are shortly able to rebuild and recover your credit. Debt settlement works best for people with $10,000 or more in unsecured debt who have a lump sum of money ready to use, or who can make high payments into an account. It also works best for people who are willing to make a commitment to long term financial change.

Debt Solutions.  Credit Card Debt Solutions.  These are broad terms. What is the optimal debt solution? The reality is that there is no optimal debt solution that fits everyone. The key to finding your optimal solution, is to consider all of your options. What you do not want to do is to go to one type of firm (e.g. credit counseling, debt settlement, bankruptcy, etc.) and only hear about that option. Most of the companies that deal with debt, sell one option (and yes, they are selling a service). Here are some of the relevant questions:

1) Debt Solutions question #1: What type of debt you have. Is it a solution to credit card debt you are looking for? Tax debt? General unsecured debt like medical bills and signature loans? Mortgage debt? A debt settlement company generally handles only credit card debt and other unsecured bank debt (like a signature loan or unsecured line of credit). Most consumer credit counseling companies also handle only credit card debt. If the debt you were considering settling is medical debt, tax debt or mortgage debt I would advise you to consult a bankruptcy attorney.

2) Debt Solutions Question #2: What resources do you have to pay the debt? What is your income level? Is it high or low or somewhere in between? Do you have a lump sum of money available to pay off some of your debt now? If your income is low and you have no assets to offer for settlement, Chapter 7 bankruptcy would be worth considering. If you are a higher income client, you may not qualify for chapter 7 bankruptcy. In that case, your options are to file a chapter 13 bankruptcy or to settle your debt.

These are the 2 basic “filter” questions to get you pointing toward your optimal debt solution. Then, there are other thing to consider, like length of time until you are debt free, how various courses of action affect your credit rating, potential tax ramifications of each course of action.

Most of the companies you will find on the internet are not actually debt solution companies at all. They are marketing companies that sell your lead to another company. Most of the people that you will talk to you are required to only have a high school education. Most of them took a 2 week training course.

But your debt situation is a very serious matter to you and it deserves to be treated with some real thought. At Trident Debt Solutions, we go over all of the options available to you and we discuss the pros and cons of each option. We are a small firm, and you will speak directly with me, Steve Craig, attorney. We are debt management consultants who leave you with a customized game plan to get you out of debt quickly. When you call, I will consult with you and after getting a thorough understanding of your situation, I will tell you what your Optimal Debt Solution is. If we take you as a client, we will see your case through until you are debt free!

Steve Craig is an attorney practicing in Denver and Boulder, CO. He has been in the debt reduction and elimination business since 1994. He has helped more than 2500 clients get out of debt with no consumer complaints.