Invis - The Siemens Group Answers 4 Common Debt Consolidation Question
 June 29 2016     Posted by Siemens Group

For those with significant debt and little income, the process of recovering from financial strain can be immensely difficult. It’s critical to work with a specialist that understands the debt consolidation process and has experience helping clients get their financials back on track by eliminating high interest loans such as credit cards. In this latest article, the team at Invis – The Siemens Group answer four common questions clients have on the debt consolidation process.

1. What Should I Do if a Credit Card Company Contacts Me?

Canadians with a large amount of debt to their name often find simply answering the phone a difficult process. That’s because they live in fear of debt collectors calling their home and requesting payment. Once a person engages in a debt consolidation program with professional advice, these calls should stop. This will ensure that the person can live comfortably without constant contact with their credit card companies.

2. Will Debt Consolidation Hurt my Credit Rating?

No, it’s important to note that debt consolidation has no negative impact on a person’s credit rating. Over time, the debt consolidation process will in fact help improve a person’s credit rating and ensure they’re on the right track toward financial freedom.

3. Do I Have to be a Homeowner to Achieve Debt Consolidation?

Debt consolidation is available to all Canadians. It’s not just a product for homeowners. While being a homeowner will make the debt consolidation more seamless, as the consolidation is backed by a tangible asset, those that don’t own properties can also enter into the debt consolidation process. Canadians may qualify for a personal debt consolidation loan, for example, with lower interest rates than their current borrowings.

4. What is the Difference between Debt Consolidation and Debt Management?

With a debt management plan, a person pays a lump sum each month to a debt counseling service and they then divide this sum up and send it to the creditors. As part of the debt management process, the consumer is often prevented from taking on further debts. Under a debt consolidation plan, the persontakes out a new loan at a better interest rate than their previous loans. They then use the remainder of their money to pay off their loans immediately while continuing to make payments to pay off the smaller loan.

By gaining a clear picture on the debt consolidation process, Canadians can ensure a bright financial future for themselves and their families. The team at Invis – The Siemens Group has extensive experience in debt consolidation by utilizing the lower interest rates of real estate equity. To discover more on Invis - The Siemens Group, please contact their office team at 604-351-7438 or visit their business website at www.siemensgroup.ca.