There are no agencies that are completely funded by the government. A consolidation loan will combine all debt into a single low payment. Agencies that provide consolidation loans are regulated by the state. The government does not fund any consolidation loan company, however, the government does provide resources and regulates the lending agencies that will be handling the loan.
Many people confuse a government grant with a loan. The major difference is that a grant does not require repayment. However, grants are difficult to obtain and applicants must meet every requirement. If you are in need of a consolidation loan, talk with your current financial lender. They may be able to give you further information on applying for specific government grants, as well as information regarding a consolidation loan at a low interest rate.
Many agencies will offer counseling services. These services may be funded by the government. The counseling is usually referred to as debt management or consumer credit counseling. These services can help people manage their current debt while helping them to avoid incurring further debt. The service can also help rebuild credit that has been damaged by a high amount of debt.
The most important thing to know about an agency is whether they are non-profit. It is recommended to only deal with a non-profit company. Nonetheless, there are trusted and reputable for profit companies that are also recommendable. This assures individuals that the company has their best interest in mind and is not looking for a way to make money. Non-profit organizations receive their funds from various sources. In some cases, state government may provide grants that help fund the consolidation loan.
On the other hand, private services use their own resources and are usually more accessible than the organizations previously mentioned.
By the way, by researching and comparing the best debt consolidation companies in the market, you will be able to determine the one that meet your specific financial situation, plus the cheaper interest rates offered. Nonetheless, it is advisable going with a trusted and reputable debt counselor before making any decision, this way you will save time through specialized advise coming from a seasoned debt advisor and money by getting better results in a shorter span of time.
http://www.debtplan.org Debt Consolidation can: Help avoid filing bankruptcy Eliminate creditor harassment Lower debt payments up to 50% Provide one monthly …
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