There is assistance available when it comes to debt relief for single mothers especially those who are supporting their children on their own, for example, after a divorce or separation. This can be quite overwhelming. If you are single mother that has too much debt, you can reach the point of being frustrated and not know where to turn. The advice that most financial experts would give is to stay away from creating more debt.
Debt Relief For Single Moms – what can help?
The government understands the ramification of being in debt; especially if you are a low income family that is struggling to make ends meet. A lot of times, single mothers fall into that category. Therefore, the government has created grant programs to help these single mothers. With the proper documentation, single mothers can receive help with debt relief. In a time of financial crisis, these grants can be tremendously helpful. They will help you to get out of debt faster. These grants come in handy when you are at your wits end and facing bankruptcy. It will also help you to protect your credit rating.
Applying for Debt Relief
You have to contact the various government agencies that cater to debt relief. The Department of Social Services is the first place to check in your local area. You can visit their website to find out more information. A caseworker will be able to provide the right guidance and advice. Some government agencies don’t give debt relief advice, but they will provide financial assistance to families who are experiencing crisis and financial distress.
The National Foundation of Credit Counseling, however, offers help with managing your debt and organizing your finances. They help you to lower your debt and settle some of the debt that you have accumulated. They will work on your behalf as the ‘middle man,’ when it comes to negotiating with your creditors.
If you are a single mom who has a lot of debt, you should fully understand the consequences and know exactly how much your debt is. Compile a list of your current debts before you speak to a credit counselor. Work as hard as you can to eliminate such debts. If you have equity in your home, a home equity loan may be a quick solution, but this should be well thought through. Consolidating your debt through a refinance will lower your monthly bills as long as you don’t incur any additional debts.
You can also try to get a personal loan to pay off all of your debts and pay one low monthly fee.
Using a debt settlement company helps you to be more disciplined in paying off your debts. These credit counselors will work out a practical plan for debt repayment. It may take you longer to pay these off, but at least you will eventually get rid of your debt. In some cases, you may have to file bankruptcy and get a fresh start, but that is the last resort. Debt relief is an easier way for single moms to get financial assistance and take steps toward financial freedom.