Originally posted 2012-02-05 00:13:52. Republished by Blog Post Promoter

You’ve seen the ads, you’ve called for debt advice, and you’ve had many sleepless nights and decide that a debt management program is an answer to your prayers. Signing up for a debt management program will direct all of your creditors to stop calling, will cut your payments and outstanding by half, and magically erase your debt within 5 years. Or so the ads say.

When the bloom is off the rose and reality sets in, a majority of consumers will realize that their predicament is now much worse.

Typical Debt Management Programs will help you wipe out your debt. You will have to file bankruptcy to do it, but who really bothers with the fine print anyway?

There are a handful of different types of Debt Management Programs. The one advertised the most is Credit Card Debt Settlement.

The issue with most Debt Settlement Companies is that they over sell Credit Card Debt Settlement. The strategy itself can actually be very effective for consumers, but it should only be used in the right sets of circumstances.

Seasoned Credit Card Debt Advice to help determine if Debt Settlement might make sense for your financial situation.

1. You can no longer or barely afford to make your monthly payments.

2. You feel that an interest rate reduction or a credit counseling program is not going to provide enough relief to solve the problem.

3. You have met with a bankruptcy attorney and realized that you would not be able to file a chapter 7 bankruptcy.

4. You have a lump sum or will be able to save up enough money within a reasonable time (2 years) to settle your debts and satisfy your creditors.

5. You are aware that stopping payments to your creditors might result in court action.

6. Getting rid of your debt is a higher priority to you than preserving your credit rating.

7. You are willing to deal with creditor phone calls asking for money.

This is just some general Debt Advice to keep in mind when looking into Debt Settlement or other Debt Management Programs. The reality is that every debtor should have a professional review of their entire current and potential future financial circumstances. Things such as your age, your earning potential, your assets, your retirement savings, your future credit needs and much more, need to be considered.