what is a good debt consolidation company?

When thinking about solutions for your debt, be really clear as to what your goals are. Many people are confused with the options out there because the term "debt consolidation" is widely used, and misused, in the financial services world to mean several different debt relief options.

The most common, and probably the most accurate, usage refers to debt consolidation loans, wherein a consumer takes a single loan, usually secured by his home or other property, to pay off several other creditors. Debt consolidation loans are designed to lower the overall interest rate on debts, and to allow the consumer to make a single monthly payment to one creditor instead of paying multiple creditors. Debt consolidation loans do not generally have a negative impact on consumers' credit scores, as these loans do not increase in the amount of debt; they simply move it from one account to another. Also, consumers can leave open a few of their older accounts to make sure that they still have plenty of positive payment history appearing on their reports. If your considering a debt consolidation loan, then just contact your local banks.

The second most common debt relief option called "debt consolidation" is consumer credit counseling. Consumer credit counseling service (CCCS) companies attempt to negotiate lower interest rates and monthly payments for consumers. If you enrolled in a CCCS program, you would pay the CCCS firm a single monthly payment, which would be dispersed to your creditors based on a pre-determined repayment schedule. As long as the CCCS company pays your creditors on time each month, and the payment is large enough to cover the minimum payment, then a CCCS plan should not hurt your FICO score. However, some CCCS programs do not make payments timely, or make payments which are too small, resulting in delinquencies on their members' credit reports. To look for a good credit counseling firm, you should visit http://www.nfcc.org./

Also, very importantly, CCCS is reported to the credit bureaus and many lenders look at credit counseling as if you had filed for Chapter 13 Bankruptcy. So, while your FICO score will not be impacted, your credit profile is very negatively impacted.

Debt settlement programs are also frequently called "debt consolidation." These programs, in which you save money monthly to negotiate settlements rather than making monthly payments to your creditors, definitely do have a negative impact on your credit score. In the months that you are saving money to negotiate with your creditors, your accounts will be listed as delinquent on your credit reports. However, the benefit of these programs is that they can often result in significant reductions in the balance of your debt, sometimes reducing your debt to 40% of what you previously owed. Many consumers find this benefit well worth the temporary negative impact on their credit scores.

If you are looking for debt settlement form of a debt consolidation option, then I have to agree with the two answers above. I have found through my research, that Freedom Debt Relief is one of the largest firms in this business. The company's founder sits on the board of The Association of Settlement Companies (TASC). TASC’s goals are to promote good practice in the debt settlement industry, protect the interests of consumer debtors, and lobby on behalf of debt settlement companies on the federal and state level. You can get a free consultation from one of their debt counselors by visiting http://www.freedomdebtrelief.com./

Depends on what type of service:

Debt Settlement: Freedom Debt Relief

Credit Counseling: Delray Credit Counseling

Debt Consolidation Loans: Bills.com

Make sure that you know what you want and then pick a company.

A good debt consolidation company is one in which usually does a debt negotiation so that your debt levels are decreased and settled in a possible shortest duration. Freedom Debt Relief is the Best company for your debt reduction, their Debt Reduction Program is an innovative solution for consumers struggling with debts. You can visit their site at www.freedomdebtrelief.com

I used CCCS (Consumer Credit Counseling Services) for 10 years when I got into 6 figure credit card debt. The most important thing is to get the right person (counselor) to work with. It must be someone who cares. Anyway .. they helped me a lot. I am now debt free. As an aside .. I set up a spreadsheet in excel and tracked everything every month .. with 15 credit cards it was a challenge. But now I am better off and I know how to manage my money.

Your OWN efforts, and legwork. Why pay another to organize your debts? That just defeats the purpose of real debt consolidation. Offer each creditor forty cents on the dollar. In this crappy economy- no one will refuse your deeply discounted offers.

What is a good debt consolidation company?

T.R.Y

T.H.I.S.

S.I.T.E

W.H.E.R.E

Y.O.U

C.A.N

F.I.N.D

T.H.E

B.E.S.T

S.O.L.U.T.I.O.N

F.O.R

Y.O.U

there is none -- do it your self and your will be 100 times better off!!!