Being in debt is the norm for millions of people worldwide. Even if the amount you owe is below the average, it may still be enough to impact your lifestyle. From mortgages to bank loans and credit card balances, there are several ways to secure a cash injection. Unfortunately, paying the money back isn’t as flexible as obtaining it in the first place.
Anybody who has debts will have wondered how they can eliminate them and wipe the slate clean. The truth is, it isn’t always possible, and when it is, you may not be eligible. Still, it never hurts to keep your options open.
Here’s what you need to know.
Debts Aren’t 100% Legitimate
To read this, you will see it as a bad thing, and it is because an illegitimate arrear will cost you a lot of money. However, it’s also a gift as it means you aren’t eligible to pay it any longer, and you can eliminate the full amount with the click of a button. As this DTSS review points out, banking scams exist, and people have been falling victim to them for decades. The worst part is that you may not know if you’ve been hoodwinked, which is why it’s vital to an industry professional.
Collectors Are Forgetful
When a debt is old, the original creditor may decide to pass it on to a business that specialises in collecting overdue payments. That way, the company or individual receives a return on their investment, and the debt collector can make a quick buck. Thankfully, not all collectors have great memories, and this plays into your hands as they must be able to show a copy of the agreement to enforce the balance. If they can’t, you can legally stop paying anything towards the amount. This isn’t a write-off, yet the result is the same!
If You Never Ask, You Don’t Receive
Ask and you shall receive. Okay, it doesn’t always work this way because life isn’t that straightforward! Still, people with multiple arrears convince themselves that they are at the mercy of the lender, and this isn’t the case. If anything, it’s the other way around since the lender wants to break even at the very least, which is why payment plans exist. And, if you’ve been paying a small amount back for a long time, they may wipe your responsibility entirely as they can tell that they aren’t getting anywhere. But, you must ask because they won’t do it of their accord.
Bankruptcy Isn’t The End
Bankruptcy is a last resort that you should treat with respect, yet it isn’t the end of your life from a financial perspective. Firstly, any unsecured loans are eligible to be cleared, and this includes everything from credit card debts to bank loans with no collateral. Secondly, the pitfalls, such as not being able to apply for credit in the future, are less severe with the creation of creditors that specialise in bad credit loans.
It is doable, but is it the right move?