Debt consolidation and you (or me)

If there's one thing I know about, this is it! Being a small business owner, I've run myself into the ground not once, but twice in trying to self-finance a startup company. Starting your own business isn't fun, and it isn't easy (and I hate it when my friends make offhand comments like, "Well you're a business owner, you have PLENTY of free time. Oh and why don't you pick up the check for lunch?" GRR! But I digress.) However what saved my bacon was using Debt Consolidation Services. Now before you roll your eyes on this, I am serious!

There are a number of not-for-profit agencies out there who will work with you to help get things straightened out. What's great is that they can get the interest on your credit cards reduced or even eliminated AND they talk with your creditors so the phone calls stop. I think that was the biggest thing for me - I grew to dread the phone ringing because I KNEW it was a creditor, not a friend or family member. When my kid brother got into trouble, I advised him to go this route and it has really worked for him also. The key is not to spend money to save money - a good not-for-profit debt consolidation company should not have service charges, although they may ask for a donation to finance their efforts (I added $10 a month as a donation to my payments because I was so grateful for what they did for me!) and I'd NEVER advise taking out a debt consolidation LOAN in these situations - why would you risk your home or car for your credit card bills?

I don't think a lot of people realize just how much financial trouble my generation has gotten itself into. Working two jobs, poor health care coverage and job instability has led to an entire generation that uses credit cards for daily expenses - and savings are almost an impossible dream. One reason I tried to start my own business was simply that I didn't want to continue running on that never-ending debt race - and debt consolidation services plus credit counseling helped me get there. Fortunately I'm finally beginning to get ahead :)