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 If you haven't heard it yet, you can be sure that money talks. And deDebt consolidation is no different than any other discussion about money. If you're interested in finding a consolidator then you can bet there are plenty of companies willing to listen - including those now offering online debt consolidation services.
Finding an Online Debt Consolidator
In this publication we're going to discuss the pros and cons of working with an online debt consolidator, what to look out for with this type of service, and then we're going to finish up with a couple of recommendations.
Warnings about Debt and Money
There is another old proverb that dates back to the 1500s - a fool and his money are soon parted. So what exactly is the point of all this? The point is simply that debt consolidation services are all about money - your money. At the same time, tAnd thhe Internet and World Wide Web haves made it extremely easy for individuals, small companies and large corporations to offer online services such as debt consolidation with the wave of a website. So how can you tell the good from the bad?
Online Debt Consolidation Websites
When it comes to debt consolidation, there are three types of websites offering these services - the good, the bad and the ugly. We're going to start at the bottom of this list and work our way up the ladder to the good ones. And while we're at it, wWe'll offer you some warnings and tips on how to separate the good from the bad.
Debt Consolidators to Avoid
The ugly sites are those that are really just after your money and not concerned at all about putting together a plan that will help to get you out of debt. These companies will be asking you for large up-front deposits or fees in exchange for cleaning up your credit report or will be making other promises that simply sound too good to be true. So here is our first tip - if it sounds too good to be true, then it probably is.
Remember, if a company can convince you to pay for a service that sounds illegal, then what is your recourse against that company if they don't provide that service? Are you going to go to court and tell the judge that you paid someone to do something illegal and they stole your money? That's pretty unlikely.
Besides, when dealing with online sites, it is very difficult to tell exactly where they are operating (Russia or the United States). If you know how to do it, a website can be hosted for less than $10 per month. Domain names in bulk cost less than $4 each. So with less than $15 a site can appear one day and disappear the next day with little recourse for the unsuspecting consumer.
Debt Consolidators to Watch
The second type of online debt consolidators you may'll run across iis websites that are affiliates of larger operations. Affiliate sites are operated by individuals that market to consumers and then send the sales lead on to the company that will actually write the consolidation loan. This is a niche industry that has emerged due to the widespread access to workings of the online communitiesy.
Affiliates are expert at marketing and finding debt consolidation candidates - but they do not have the financial resources to actually write a loan. By sending the sales lead to the lending company, the affiliate earns a commission - just like a sales person. As a consumer, you need to be careful when dealing with an affiliate. In the name of marketing, they can often make promises they cannot keep.
There are a couple of ways to identify an affiliate debt consolidator. The first is the lack of a street address anywhere on the website. The second way is to find their toll free number - if they have one - and do a search on the telephone number in a search engine. If you find a lot of different websites with the same telephone number, then it's probably an affiliate you're dealing with.
Best Online Debt Consolidators
It is very likely that the best online debt consolidators are those that also have a physical presence - that is, they are a brick and mortar company. They might be a subsidiary of a bank or a stand alone company that's been providing debt consolidation services well before the online community evolved.
There are also two organizations that provide lists of debt consolidators that you can access online. You can also find quality non-profit debt counseling member companies by searching in the National Foundation for Credit Counseling or NFCC website.
If you're looking for a professional debt counselor, then you can search for information on the American Association of Debt Management or AADMO website. These two websites apply some quality measures to the debt consolidation services industry and often they refer you to local or state agencies that maintain lists of qualified debt counselors in your area. These sites offer the consumer a much higher chance of finding a counselor or debt consolidation service with ethical practices.
About the Author - Online Debt Consolidation Services
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