Finding oneself suddenly plunged knee-deep in debt could be equivalent to being stuck in quicksand. The deeper one gets in quicksand, the more it sticks and remains unyielding to detach itself from one person. Nowadays, almost everyone is besotted with the shambles of depth through which its other consecutive forms emerge such as medical bills, student loans, credit card bills, and expenses for utilities such as rent and electricity. To accommodate individuals who found themselves unable to extricate themselves from their crushing debt, debt relief programs were presented. Let us know more detail about ‘Freedom Debt Relief Termination’.
Freedom Debt Relief Termination
To aid in alleviating the conditions people were left in after debt, debt settlement was brought forward which specifically applies to the type of form that has no asset attached to it. In this regard, mortgages and car Loans do not fulfill these requirements as they have a significant amount of value attached to them. In layman’s terms, the option of debt settlement is resorted to when an individual finds themselves on the verge of bankruptcy.
Suffice it to say, debt settlement is usually reserved as a last resort in case financial instability exacerbates.
When an individual is unable to secure enough money to pay all his debts for quite a few months, a debt settlement plan is recommended. However, it should be known that it can prove to be unreliable as it may leave behind a trail of a high credit score rather than the other way around.
Debt Relief Management
A debt relief program or a debt management program, as it is called, is consolidated with an individual’s available financial resources along with concessions received from creditors. This information mathematically deduces the amount an individual requires to reduce their debt. Two of the crucial questions that often arise in an attempt to terminate a debt relief program is whether this can be canceled or an account is deemed annulled. The answer to both these questions is affirmative yet the long-term decision-making process that an individual undertakes depends on the company services they are procuring from and the unexpected rise in expenditures.
Here are some things to consider while embarking upon the decision to discontinue one’s debt relief program:
- Increase in interest rates on credit cards
- Separate and, perhaps, exorbitant credit card fees that may not be covered after the plan is canceled.
- Late fees being reinstated instead of being waived
- Cancelation fee
In the case of financial stability being firmly secured on an individual’s account, then there may be little to no debt to worry about. However, if the debt still remains in spite of excellent financial standing, then one might have to rethink their decision to withdraw from their debt management program. Depending on the services from the company that the individual has selected, one can take advice from their counselor who may be consulted in order to make a correct decision based on your credit standing.
Disassociation of Debt Relief Program
In order to officially disassociate oneself from a debt management program, an individual has the liberty to remove individual accounts from their plan. All one has to do is call the customer service of the plan that an individual is tied to and make a request concerning so.
One of the companies that specializes in such services is Freedom Debt Relief (FDR). Through the plan that a customer wishes to undertake, FDR would contact one’s creditors on their pending payments and will attempt to negotiate a payment on the customer’s behalf that is affordable. Similarly, the cost of these services would largely depend on the amount the customer owes and who the creditors are along the area or location that the individual is settled in.
Debt Relief
This is just the US that I am talking about. In Pakistan, even though these services are provided in most banks, there is little to no promotion for the need to resort to debt relief. For this year, it was estimated that the per-person debt burden accelerated to 179070 in Pakistani rupees which amounts to a 50% jump from last year. This further emphasizes the need to spread more awareness regarding the existence of such programs whose plans can be easily terminated without further penalties and costs. Even people who have unfortunately descended below the poverty line (i.e 46%) require assistance in availing these programs so that they may be able to regain some form of pecuniary stability.
Therefore, it is increasingly essential that the debt relief programs are reinstated and made available to the section of the population that finds it arduous to even grapple with their basic tools of survival which count as their most important right to life.
Conclusion
Now we have learnt ‘Freedom Debt Relief Termination’, As a country that itself remains in high debt, no wonder its population is undergoing the same dilemma. In the aftermath of a pandemic, people subjected to abject poverty have been further marginalized apart from being stripped of social services from which they were earlier deriving benefits from.
