Debt Views

I never had a credit card in my life before this year. I was around for the credit card revolution back in the early to late 80′s but I was about 18 back then. I don’t know how I did it but I ruined my credit a few months after my birthday. It wasn’t too bad, but enough that I was turned down for a credit card I applied for and never tried again. I consider myself lucky because had I gotten one I would probably be in the same debt as all my friends are in today. That’s until I discovered 0 interest credit cards.

All of my friends say if they had it to do over again they wouldn’t have gotten a card until they were 30. They say that that’s when they started to realize that using a credit card takes certain kind of discipline and awareness to use and not be caught up in the whole debt thing. By using only 0 interest credit cards I avoid this debt trap completely.

Today I can get as many credit cards as I want, as my credit is actually almost triple A and I haven’t done anything to ruin it. Actually I’ve done everything to keep it good! One thing I learned or rather figured out before getting my first credit card was that there are a lot of 0 interest credit cards out there trying to seduce you in with a 6 month interest free introductory offer. The beauty of this is that you can get the card and use it interest free for that time. Once the time is up you simply transfer the money to a new card with the same offer (or even more time!) and you never end up paying interest on the card! This way I’m getting credit, and not paying a penny more than I actually spend! I never fall into deep debt because the interest isn’t there. It doesn’t exist.

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If you want to collect more money just shut up and listen. Many accounts receivable professionals and people who collect money from delinquent accounts talk way too much.

In training people to improve their collection techniques, I have noticed that collectors, while on the phone or meeting with debtors face-to-face, typically do most of the talking while the debtor is not listening. The result is the collector does not get paid.

One of the key principles of collection management is to get debtors to discuss their accounts. Once debtors are talking about their debts you are well on the way to collecting the money.

So how do we get our debtors to talk? The main thing we have to do is to stop making statements and start asking questions. And, in the broadest sense, there are two kinds of questions we can ask: closed-ended questions and open-ended questions.

Of course, a closed-ended question is one the debtor can answer with a "yes or a "no." For example, if you ask, "Will you send me a check today?", the debtor can say, "Yep." "Nope." "Not in your life." There is no talking required.

On the other hand, an open-ended question is one phrased so the debtor is almost forced to talk. For example, "Can you tell me what’s going on with this account?" Or, if it’s a small commercial account, "How’s your business doing?"

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Juggling multiple debts can be difficult, but a debt consolidation credit loan can help you get your finances back on track.

Debt consolidation involves taking out one secured loan to pay off several existing debts. This can help reduce your monthly outgoings as well as simplifying your repayments.

Even if you have credit problems, a loan that suits your circumstances can be found. In fact, successfully paying off your debts can go some way to repairing your credit rating, so a debt consolidation loan with low repayments can help you sort your finances.

The easiest way to find a consolidation loan company is to employ a broker to search the market for you.

They will take the legwork out of finding a loan by comparing hundreds of lenders. The broker will compare:

• Interest rates.
• Terms and conditions.
• Arrangement fees and other charges.
• Repayment terms.

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