Press Release

Steps to Becoming Debt Free

America is definitely a society of borrowers and spenders. Our economy was built on financial companies extending credit, which makes it possible for consumers to start businesses as well as purchase items from merchants with no money out of pocket. This practice has made it easy for consumers to pay for items over a period of time. We refer to this concept as "installment payments."

Almost every consumer in America today owes some money to someone else on an "extended credit program." If you're looking to get a handle on your financial life, then you MUST stop spending money and start managing it.

It's an American dream to live a life that is debt free as well as stress free. To live such a life you may have to suffer a bit as luxuries decrease and savings and investments increase. In a debt free life, your "true net worth" will increase in size. This happens because principal and interest payments will be eliminated, leaving more money on your bottom line. Net worth is simply defined as assets minus liabilities. It's up to you to take the necessary steps in order to get from one place to another!

The First Step: The first step toward living a debt free life begins by sitting down and taking a realistic look at your life style and the cost of maintaining it. Analyze your household budget. If you're making minimum payments on your credit cards, you have a problem.

Making just the minimum payments on your credit cards each month may take a person over 20 years to pay off the principal (depending on the minimum due and the interest rate). For most people, credit card balances grow each month because the minimum payment isn't enough to cover the interest (finance charge) being added. In addition, late and over-limit fees are also adding to the growth of your balance.
The Second Step: Next, you must realize the problem and sincerely want to fix it. Filing bankruptcy (Chapter 7 or 13) is certainly a cure for this problem, but should only be considered as a last resort. For many people, a consumer debt management program provides the best solution and alternative to filing bankruptcy.

Since consumer debt management programs are funded by donations from credit card companies, many of these companies will actually encourage people to seek help from an approved 501 (c)(3) non-profit consumer credit counseling agency that has certified credit counselors that provide budget counseling and money management education as part of the debt management program.
The Third Step: Completing enrollment into a consumer debt management program is simple. All information is private and confidential. After creating a realistic livable household budget and repayment plan, all of your credit cards and other unsecured debts will then be consolidated into one new payment, which is typically 20% to 50% lower than the combined payments you were making prior to entering a consumer debt management program.

Sticking to the livable household budget that you and your credit counselor created is paramount to your success in living a debt free life. Achieving a debt free life is possible only through patience and discipline. After completing a consumer debt management program, we strongly urge consumers to continue their monthly debt payment into a savings vehicle. By allocating that same monthly payment into various savings vehicles, consumers soon begin to accumulate the kind of "true net worth" which can then be used for the purchase of a home, education for children, and retirement. It's never too late to start.


	Steps to Becoming Debt Free America is definitely a society of borrowers and spenders. Our economy was built on financial companies extending credit, which makes it possible for consumers to start businesses as well as purchase items from merchants with no money out of pocket. This practice has made it easy for consumers to pay for items over a period of time. We refer to this concept as "installment payments." Almost every consumer in America today owes some money to someone else on an "extended credit program." If you're looking to get a handle on your financial life, then you MUST stop spending money and start managing it. It's an American dream to live a life that is debt free as well as stress free. To live such a life you may have to suffer a bit as luxuries decrease and savings and investments increase. In a debt free life, your "true net worth" will increase in size. This happens because principal and interest payments will be eliminated, leaving more money on your bottom line. Net worth is simply defined as assets minus liabilities. It's up to you to take the necessary steps in order to get from one place to another! The First Step: The first step toward living a debt free life begins by sitting down and taking a realistic look at your life style and the cost of maintaining it. Analyze your household budget. If you're making minimum payments on your credit cards, you have a problem. Making just the minimum payments on your credit cards each month may take a person over 20 years to pay off the principal (depending on the minimum due and the interest rate). For most people, credit card balances grow each month because the minimum payment isn't enough to cover the interest (finance charge) being added. In addition, late and over-limit fees are also adding to the growth of your balance. The Second Step: Next, you must realize the problem and sincerely want to fix it. Filing bankruptcy (Chapter 7 or 13) is certainly a cure for this problem, but should only be considered as a last resort. For many people, a consumer debt management program provides the best solution and alternative to filing bankruptcy. Since consumer debt management programs are funded by donations from credit card companies, many of these companies will actually encourage people to seek help from an approved 501 (c)(3) non-profit consumer credit counseling agency that has certified credit counselors that provide budget counseling and money management education as part of the debt management program. The Third Step: Completing enrollment into a consumer debt management program is simple. All information is private and confidential. After creating a realistic livable household budget and repayment plan, all of your credit cards and other unsecured debts will then be consolidated into one new payment, which is typically 20% to 50% lower than the combined payments you were making prior to entering a consumer debt management program. Sticking to the livable household budget that you and your credit counselor created is paramount to your success in living a debt free life. Achieving a debt free life is possible only through patience and discipline. After completing a consumer debt management program, we strongly urge consumers to continue their monthly debt payment into a savings vehicle. By allocating that same monthly payment into various savings vehicles, consumers soon begin to accumulate the kind of "true net worth" which can then be used for the purchase of a home, education for children, and retirement. It's never too late to start.