Debt Counseling

Question 1

Define Debt Reviw

Answer 1

• A voluntary process
• undergone by a person or couple
• who can’t meet monthly debt obligations
• during which a DC negotiate with creditors to reduce monthly repayments

Question 2

What is debt restructuring

Answer 2

Reducing interest rates and increasing credit term

Question 3

Pros of debt review

Answer 3

• Consolidate debt into 1 lower monthly repayment
• Asset protection
• Credit providers no longer harass with phone calls

Question 4

Cons of debt review

Answer 4

• Longer payment period
• No new credit
• Not all types of debt can be included in debt review