Should you hire a professional to clear debts or do it yourself?

Solving your debt issues is not easy unless you make efforts towards it. The habit of neglecting it can only worsen the situation. While a common man grapples to make a living which is becoming costlier, add to that, the burden of debt can take a toll on your peaceful life. It can affect your health and ruin relationships with your loved ones.

Ultimately, the creditor resorts to harsh means by issuing law orders whereby the person is obliged to pay it anyhow even if it means selling off the assets.

So, what’s the way out if you are swimming in the sea of debt?

Take a deep breath. Settle down in one place and rethink your decisions. There are several ways to pay off the debt fast.Two of the common methods include – the DIY debt reduction options better known as the Do it Yourself options and professional debt payoff plans.

5 Reasons why a DIY option is preferred to pay off debt

Honestly, it is quite difficult to do it all by yourself while paying off the debt. It is certainly not for the fainthearted. But for many consumers with an independent mindset, do it yourself debt relief solutions are the most preferred method of paying off debt.

1. It saves money

When you are approaching a company to manage debts, they can charge more than the amount owed as debt. If the struggle to pay debt is on your own, you will definitely save money as you will have to pay only the debt amount plus the interest charged on the debt.

2. Creditors might go easy with you

Creditors lead a busy life dealing with lots of debt settlement companies. In the process of settling debts, they may not receive money for a long time. But if the person is paying back debt on his own, chances are creditors will not be rough as they are talking face to face with the person, resolving his/her debt queries, and the money is settled in a given period.

3. You will be financially motivated

In the process of settling debts through your own efforts, you will learn about important financial matters which will be helpful for you in the future. This will help you stay financially motivated and prioritize your goals more strategically in the future.

4. It will bring awareness in you

When you go through the journey of checking your debts, calculating your income and expenses, and finally to call the creditors to pay off debts, you learn a great deal of things. It definitely helps in boosting the awareness in you.

5. You won’t be trapped in a scam

When you are settling your debt independently there will be fewer risk involved in terms of trusting another source. A lot of fraudulent companies can even trap you in a scam and extract more money than you can imagine.
Are you scared to confront your financial matters with the creditors? Don’t worry, there’s another way out. Check out the 5 reasons why a professional help may be suitable for you.

5 Reasons why a professional method is more beneficial

It’s a messy affair. If the ABC of handling finance is alien to you, knocking the door of a professional is a wise decision. It could be the best way to pay off debt and raise credit score. How? It saves your time as the professional uses his expertise to quickly take you out from the debt. Chances of high Interest charged on the debt are decreased. Before using the professional method, understand why it is more beneficial than other methods of paying debts.

1. Helps get rid of myths

Professional help is required if a person has several myths regarding the payment option. For instance, one of the most common myths is that debt consolidation and debt settlement are the same thing. However, they are 2 types of professional debt relief programs offered as per your financial situation.

2. Aids in credit counseling

Disclosing the financial problem can be a matter of embarrassment faced by many. Some people avoid talking about money matters and start ignoring the calls made by the creditors. When you opt for professional’s help, a credit counselor assists in reviewing the financial situation. Their job is also to identify the reasons behind the financial problem and to develop strategies to pay off debt.

3. Guides in budget planning

It could be a possibility that you have been successful in preparing a budget plan that will help you take out from the debt.
But, what if you find it too difficult to implement? Also, over the years, the budget plan has become very redundant option to work on. It is also not a creative way to pay off debts but rather a generic one. A professional will help you focus on your plan and will make it a smooth journey for you to pay off debt.

4. Introduces a debt relief program

It is essential as it enables you to pay off debt without filing for bankruptcy and messing up with your credit score.
In this plan, only a monthly payment is made to the creditor.
This simplifies the financial matter, keeps the payment up to date, and helps the debt management company to resolve matters with creditors. It reduces interest rates, finance charges, and other fees. You can save a lot through a professional debt relief program and can become debt free within a definite time.

5. Only a phone call away

If you are feeling helpless and alone in resolving your debt issues. Racking your brain over it will of no help. Browse the internet and call the professional to solve the hurdle that you are in.
Talking personally to an expert can be of great help. It introduces you to a more systemized approach to settling debts than pondering over how to resolve the matter.

DIY option or professional help – Wondering which route to take?

Managing debt has become a part of everyone’s life these days. If you are confident at handling your own financial issues, then nothing’s like it. And, if you are completely clueless about your debt situation, then approaching a debt relief company can be the best way to become a debt-free person.

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By Valentina Wilson on March 14, 2019

Valentina Wilson is a writer and blogger who specializes in personal finance and positive change and associated with BestDebtConsolidation. She has a master’s degree in financial journalism and seven years of experience in personal banking and believes that small behavioral changes are the key to achieving financial freedom.

Follow her on Twitter: @valentinailson