Unsecured Debt Relief For 2010 - How Half of Your Unsecured Debt Can Be Legally Wiped Out

June 23, 2010 - PRLog -- Credit card companies earn maximum profit if their customers pay the minimum balance every month. Since these cards charge the highest rate of interest amongst all other loans the consumer ends up paying for a very long time. Most of the people did not mind paying the minimum until the recent economic recession. Many have lost their jobs and some small businesses have even closed down because of the recent recession. People are trying to find ways to get out their debts especially the unsecured debts.

One of the most effective ways of coming out of debt is though debt settlement. Many know it by the name debt negotiation or debt arbitration. This is a legal way in which a debtor and creditor agree to settle the account for an amount lesser than the total outstanding balance.

One might be curious to know as to why the credit card companies would agree to such an arrangement. The answer is simple, had the customer gone and filed for bankruptcy the creditor would have no means of reclaiming the money that the debtor owed them. The settlement process allows them a way to get back a part of the money.

Any debtor who has ten thousand dollars or more in unsecured debt can take advantage of this debt relief program. The customer will have to convince his creditor that the only other option for him is to file for bankruptcy. Then he can offer a certain amount of money as lump sum payment in order to settle his account. This process is simple and can be done by the debtor himself or he can hire a professional debt settlement company to negotiate on his behalf. A good negotiation can get a waiver of up to 40 % or 60% of the total balance.

Their are several debt relief options available in this market so it would be wise to speak with a debt relief specialist to determine which option makes the most financial sense for you. Whether it is credit counseling, debt settlement, debt consolidation, or bankruptcy, a debt relief specialist will be able to steer you in the right direction.

Check out the following link for a free debt consultation from a specialist in your area:
Free Debt Advice
(http://www.debt-settlements.com/)
Contact us for free debt advice = 8883613619