Companies, such as Vivix Credit Solutions, offer services for assisting in debt settlement and management.  Debt settlement continues monthly payments to creditors while the debt settlement company collects a fee.  Debt management helps to reduce interest rates and monthly payments.  Both of these services offer ways to help the debtor and also repay the creditor the debt.  An individual can process both services on their own, but there are certain aspects to consider if the need of a professional is necessary.  Finance dealings are complex and involve an order of proper procedures.  A professional can alleviate the stress of initiating a plan for debt settlement documentation.

Many people will face a time in their lives when falling behind on creditor payments becomes out of control.  Initially the thought is they will catch up to the current payments that are due, but before they know it, the debt becomes deeper.  Interest rates cause the balance to increase. Negative marks appearing in their credit score are imminent.  When this gets too overwhelming and difficult to understand, it is time to seek professional help.  A professional can advise an individual on how to set up and process the paperwork if the individual decides to proceed on his or her own.  If a professional is hired, they will take care of the paperwork and the creditors for that individual.

In some cases there are taxes that have not been paid.  Those types of cases consist of compromising agreements between the debtor and the IRS that a professional can handle.  A sense of relief is felt in knowing a professional is dealing with a tax problem that could have terrible results if not tended to.  The professional can grant extensions at better terms in the ability to repair financial circumstances.  When dealing with the IRS, some people have a feeling of intimidation. Identifying specific guidelines and legal rights about settling with the IRS by way of extensions can become overwhelming.  Professionals have knowledge of laws and how to settle payments relating to these situations.

The goal of having a debt settlement is to reduce the debt or to have payments lowered.  Sometimes creditors will settle for a percentage of the debt in order to collect payment.  If the creditor and debtor agree to the terms, then the professional will request this agreement in writing.  This will protect you from the creditor returning later in pursuant of another payment.  Credit card companies prefer accepting a percentage of the debt rather than the debtor filing for bankruptcy.  If the debtor files for bankruptcy, the creditor knows it is highly unlikely a payment will be made.  Hiring a professional to settle with the creditors relieves an individual of any worry and stress in dealing with these companies.  The creditors will cease calling you and will negotiate with the hired professional.

There are simple situations that do not require a professional’s help.  One can research the process and settle with companies themselves.  But when the situation has become too much and an individual does not see any way out, it may be the right time to seek professional help.