How Freedom Debt Relief Could Help With Debt Management
Unemployment continues to decline. The rate was only 4.3% in May, which is 0.5% lower than in January. Youâ€™d think with so many people in the work force that debt wouldnâ€™t be an issue.
Unfortunately, consumer debt is increasing. With the average credit card interest rate nearing 20%, many families are only a payment away from disaster. Even worse, many arenâ€™t aware of how fragile their situation is.
While personal income is increasing, it isnâ€™t increasing fast enough to pay off the rate of debt increase. In April, personal disposable income increased by 0.4% but spending also rose by 0.4%, virtually eliminating any gain in disposable income that could have gone towards debt payments.
To make matters worse, the Federal Reserveâ€™s most recent 0.25% rake hike only adds to the debt burden of households. 0.25% might not seem like much, but in aggregate itâ€™s equal to $1.6 billion in additional credit card finance charges in 2017.
With many families simply living from pay check to pay check without any other solutions for reducing their debt burden, it can be difficult to plan for anything. A vacation can seem like just a dream.
If this sounds like you or if youâ€™re facing mounting debt and it seems like thereâ€™s no way youâ€™ll ever get out from under it, Freedom Debt Relief could help.
Freedom Debt Relief helps you create a plan to get your debt under control. By starting off with a Freedom Debt Relief Certified Debt Consultant, youâ€™ll receive a free debt consultation for your current situation. Your consultant could then devise the best debt relief strategy for your specific situation.
Imagine having savings set aside for an emergency? It probably sounds impossible now but Freedom Debt Relief could help you pay down debt and build up your emergency savings.
Looking at the broader economy, in April, consumer savings remained at 5.3% of disposable income. This is basically the same rate as last year. Think about that for a second – the overall debt burden is increasing but savings are flat. It isnâ€™t a great recipe for handling unforeseen expenses, like a car repair or the house A/C going out.
By creating your emergency savings, youâ€™ll be getting ahead of the pack.
With overall consumer debt only increasing, thereâ€™s no better time than now to create your plan for getting out from under your debt and taking back control of your finances.
We donâ€™t know what the Federal Reserve will do at their next rate meeting. But they seem to believe the economy will continue to get better, which increases the probability that there could be more rate hikes in the near future.
Another Federal Reserve rate hike means another increase in overall credit card finance charges. Get in front of any potential rate hike by working with Freedom Debt Reliefâ€™s plan of action for debt reduction
Since 2002, theyâ€™ve helped resolve over $6 billion in debt. They negotiate with creditors to get their clients a reduction or even total forgiveness on their outstanding balance. That might sound impossible but with the right plan, you could reduce how much you owe and pay it off faster.