Clear debt
Clear debt To clear debt is the procedure of repaying past-due monetary obligations by a subject of debt towards a creditor. The course enlists different reimbursement techniques, which involve changes in the debt agreement conditions, decrease of monthly fees or interest, etc. Special debt management companies or various debt help organisations can be involved in the clear debt process, participating at debtor’s request. This occurs, when a lender pursues his late payments from the consumer but he is not averse to change the contract conditions in order to assist the indebted subject.
Consolidate debt
Debt consolidation To consolidate debt means to merge multiple liabilities into one single amount to be paid and also to unify multitude creditors into one lender. Such debts are usually credit card loans, which have descended from purchase of different services or goods. The aim of debt consolidation is to unite all defaults so that the debtor will have to make only one payment per month on the new monetary obligation.
Dealing with debt
Dealing with debt Dealing with debt can be a long, complicated and costly process for the debtor. According to different government statistics (e.g. for UK & Wales), the average debt per adult for 2013 is more than £28,000. In order to avoid going into a deeper bad debt situation, a consumer should aim for using various repayment and clearance methods in order to strike off past-due payments. Sometimes a debtor had no deliberate attempt to fall behind with his regular payments.
Debt free
Free of debt Staying debt free is a general problem for many consumers. Due to the harsh economic state, a lot of individuals borrow amounts in order to cover their needs. Debts do not only derive from unnecessary purchase of goods and services. A default payment issue can arise out of consumer’s inability (usually bad financial situation) to cover the amount borrowed from a creditor. When an individual falls behind with his regular loan payments, he becomes a debtor and the monetary obligations- delinquent amounts or “defaults”.