With the new federal debt relief laws, debt relief options have broadened. In short, you can now apply for debt relief from all the three branches of the government: the Department of the Treasury, the Federal Trade Commission, and the Internal Revenue Service. (The Internal Revenue Service still has somewhat lax standards for debt relief agencies, but the government has put far more effort into this than it has been in the past.) Here are the debt relief options most commonly available in New Mexico.
If you’re in debt, consider these solutions: debt relief through self-help with realistic budgeting; debt settlement, which involves negotiations with creditors; or debt consolidation, which combines debt relief programs and debt consolidation into one. The state of New Mexico’s new laws have had the greatest effect on debt relief through debt settlement, which was the most abused form of debt relief by companies. New Mexico’s new debt relief laws, like those in the rest of the country, require the debt settlement companies to provide their clients with a balance of professional advice, information about alternative debt relief methods, and a full disclosure of all fees involved. New Mexico’s new debt relief laws also make it much easier to file bankruptcy, at least for most of the people that are trying to use bankruptcy as a debt relief method.
If you’re unable to settle the debt in terms other than debt consolidation, you may need to look to other alternatives, such as debt settlement. For people who cannot settle debt through consolidation, debt settlement is a debt relief option that allows you to combine your multiple debts into one. By negotiating with your creditors, debt settlement enables you to pay less money and keep more of your money. New Mexico’s debt consolidation laws have encouraged debt settlement companies to expand their services beyond New Mexico, bringing more choice to consumers.
In some cases, debt consolidation loans in New Mexico may be an option for paying off all or part of your debt. A debt consolidation loan may be an especially good debt relief option if you have found yourself re-paying old loans that are difficult to repay. Debt consolidation loans in New Mexico can offer you the security of being able to make one monthly payment, one that you will hopefully be able to pay off quickly. Also, debt consolidation loans in New Mexico typically carry much lower interest rates than credit card or bank loans. For people with bad credit, debt consolidation loans can also be a great way to repair your credit.
New Mexico debt consolidation offers a debt consolidation solution for individuals who are struggling to pay off credit cards, utility bills, or store credits. New Mexico’s debt consolidation laws aim to help you save money by allowing you to combine multiple payments into one lower monthly payment. Many debt consolidation loans come with reasonable interest rates, which can make them an attractive option for those who are struggling to make ends meet. Debt consolidation loans in New Mexico also allow you to take advantage of “Payment Protection Insurance” (PPI) plans, which cover some of the costs of credit-card bills in case you are unable to make payment. (PPI plans vary greatly from state to state, so it is a good idea to research them extensively before applying.)
The bottom line is that when considering debt relief in New Mexico, debt management and debt consolidation are not always the best options. If a debt consolidation company is not offering you realistic debt relief solutions, do not be afraid to look elsewhere. However, if you find that a debt management company is willing to work with you, take steps to protect yourself. Consider debt settlement, a debt management plan that allows you to settle debt without declaring bankruptcy. By working with a debt settlement company or professional debt relief company, you can save money and protect your credit.