Many people are stuck on loan payments which they secured, hoping to pay in due time. A lender can pressure you and finally sue you if you are unable to repay the outstanding balance. Today settling your loan debts is easy with the introduction of a payday loan consolidation program. It is easy to sign up if you know a reputable company such as the NPDL Consolidation of Payday Loan Debt.
How Does Payday Debt Consolidation Program Work?
The program involves a debt consolidation company that takes over the role of clearing your outstanding loan. Signing up for the program is free, which guarantees you the clearance of more than one loan. Effectiveness of Payday debt consolidation works on a four-step procedure.
Consultation: After signing up, you receive a personal financial consultant for a payday loan consolidation program. The financial consultant’s role is to collect essential information such as conditions of payments, monthly bills, client’s income and payday loan interests. They also ensure they note if you were provided with a guarantee when taking the payday loan.
Reaching out to your lender: The debt consultation company introduces itself to your payday loan lender. It involves taking responsibility for all debt-related communication between your payday loan lender and you. Your debt consultant persuades the lender to waive off all your penalties by explaining your financial constraints.
Implementation of a monthly payment plan: Your financial consultants will ensure they reach a successful negotiation in stage two. After, they will plan a meeting with you and create a monthly debt repayment plan. Depending on your income, lending interests and the number of pending payday loans, you will draft a monthly debt repayment in installments. The plan ensures your lender does not interfere with your bank account. In case you default on the monthly installments, your payday lender may decide to revoke the newly negotiated debt repayment.
Follow-ups: You will attend regular appointments requested by your payday debt consultant via calls. It ensures you keep track of your repayment progress because your payday lender considered giving you a second chance, therefore, did not sue you. Your debt consolidation consultant trusts you to make commitments with little supervision because the payday debt consolidation program’s terms are so friendly. Ensure you pay your payday debt monthly installments on time to increase your chances of qualifying for new loans in future.
Requirements For Signing Up For A Payday Loan Consolidation Program
Proof of Monthly income: The debt consolidation program aims at helping clients clear off their outstanding payday debts. A source of income is important to enable you to meet the outstanding payday debts monthly. During the initial stage of a loan application, your financial consultant requires you to produce recent paychecks from your current employer. You are allowed to provide a recent audited financial statement to confirm proof of income if switched to self-employment. Ensure you provide your debt consultant with enough conviction on committing to pay on time.
A minimum debt of $10,000 outstanding balance: A payday debt consolidation program works efficiently for large outstanding debts. A lender can’t waive off a debt of a few dollars because they want to make a significant profit from your monthly debt installment payments.
Proof of business premises or residence: Your payday debt consultants will visit your business premise or home to help you locate easily in case of sickness. Ensure you contact your debt consultant before signing the payday loan consolidation form if you are relocating.
Collateral: It is required to provide collateral assets whose value depends on the minimum collateral value based on the outstanding payday loan amount, credit score and loan amount.