Pacific Debt – Debt Consolidation vs. Debt Negotiation Explained

Some people are bad at love, trapped in a constant cycle of miserable relationships, but I’m bad at money, staring up from a bottomless pit of maxed-out credit cards. Drowning in debt can make you desperate for a solution, so like many others, I looked into debt consolidation as a solution to my problems.

What I found was shocking. Consolidation is not the cure-all companies make it out to be. In fact, the difficult-to-understand jargon can leave you with even more debt than you started with. Here, in layman’s terms, are the problems with debt consolidation you need to understand before you commit (and the debt solution I found from Pacific Debt).

There are two types of debt consolidation:

The first type is called a secured loan. With secured loans, you basically trade in your existing debt from different credit cards (or loans, or medical bills) for a brand new, larger loan with a smaller interest rate. The catch is that you have to put down collateral, like your house or your car, and debt collectors are now free to come after your most valuable possessions. Secured loans are paid over a longer window of time than any other kind of loan, meaning there’s a higher risk that you’ll have an emergency, like surgery or a death in the family, that causes you to miss payments and put your livelihood on the line.

The second type is an unsecured loan. This is also a larger lump-sum loan that you trade for your many smaller debts. However, this one is based on your credit score. That’s right; you must have good credit, which is a rarity for those of us in major debt, to get this loan. There’s also a lot of fine print on these loans that can sink you. For example, the low-interest period can be super short. That means if you get lost in any of the complicated industry jargon, you may fail to notice that your interest is going to skyrocket in a few months, potentially leaving you paying more than you were before.

Luckily, I discovered an alternative method that doesn’t require you to take on new debt to erase your old. It’s called debt negotiation. Pacific Debt is a debt settlement service with a team of experts who negotiate on your behalf, reducing the actual amount of debt you owe. I didn’t even know it was possible to negotiate with creditors! They provide the exact same benefits as debt consolidation — one monthly payment instead of several — but without many of the hidden dangers of debt consolidation. The Better Business Bureau gave a rare A+ rating to Pacific Debt because they’re so easy to work with and best of all, they don’t get paid unless they negotiate down your debt. So there’s nothing to lose.

Before you rush into debt consolidation, consider your options. At Pacific Debt, you’re matched with a friendly service agent who will answer all your questions, especially if you’re like me, and need the same thing explained five times.

To qualify, you must have at least $10k in debts – such as credit cards, medical bills, unsecured or personal loans, retail debt, debt owed after repossession, and accounts in collections. Certain unsecured debts such as payday loans, consumer finance loans, legal judgments, medical debts not in collection, and student loans, may not qualify.

If you move forward, one agent will guide you through the entire process, like a financial guardian angel. No more pulling out the magnifying glass to read the fine print. No more debt shame. Take their quiz today to find out how to pay off your credit cards and personal loans for less than what you owe.

Debt can be a huge pull on moving forward with your life, so if you have any concerns, Pacific Debt will answer all of your questions, judgement-free. The first step in the debt settlement process is the free phone consultation. Give them a call at (855) 750-5083 to see how they can help you.