Be careful with your debt consolidation plans
Debt consolidation may seem like an easy way out of a bad debt situation. But that is not always the case. You may end up having more problems after consolidation than before. Most experts agree that consolidation is one thing that should be gotten into with your eyes wide open.
You MUST study the options available to you and find out if consolidation is the best option available for your situation. There are plenty of so-called nonprofit counseling agencies that have been selling debt consolidation plans to folks who couldn’t really afford them. This month, the IRS revoked the tax-free status of 41 agencies and is eyeing more. Ohio.com reports:
Check with the U.S. Trustee Program at www.usdoj.gov/ust to find out which agencies are approved to fulfill the bankruptcy requirement, even if you don’t plan on filing for bankruptcy.
Read more: Caution needed with debt consolidation plans