Legally and ethically rid yourself of burdensome debts using this little known strategy, without having to deal with attorney's, bankruptcies, lawsuits, or even a single phone call to a creditor.

Are you one of the millions of Americans with mortgage loans, credit card bills, installment loans, student loans, tax liens  and other financial problem or debts? Believe us, you're not alone in your situation. Household debts including your home mortgage or auto loans of $20,000, $50,000,  $100,000 or even $500,000 are very common these days. We're about to reveal to you a business cashflow model for legally and ethically Rapidly Reducing all of your consumer debts that's one of the best kept secrets of the banking and financial services industry.

This is information that the industry insiders - the banking industry presidents and credit managers - don't want exposed to the consumer like you to have access to.

First, we need to assist you with an attitude adjustment or a paradigm shift for you to acknowledge that things are not always as they may appear to you. Many consumers of financial services think that by having a pleasant conversation with a bill collector on the telephone, and disclosing the nature of their financial problems and the reasons why their account isn't up to date, that the bank will somehow be sympathetic to their situation. You are WRONG! If you're having trouble making payments on your debts, it's important that you understand one thing right now:

They want their money, and that's all there is to the reason why they called you ... The bank that holds your account doesn't care how the debt got there. They only want your minimum monthly payment, period.

As far as the bank is concerned, you signed an agreement, and unless you pay your bill on time, as agreed, they intend to make your life very unpleasant. Once you start to fall be hind, they lower the boom, and the dreaded collection process begins. It starts with polite phone calls and letters such as ("did you forget to send us your payment") and the calls and letters rapidly escalates to daily harassment, and nasty letters, and abusive tactics, all coming from employees, people who are paid and work for a company that will do whatever it takes to get their money bank that you agreed you owe.

Collection activity is designed to pressure you to find the money someplace to pay them by sending it in - NOW. Once you fall behind, the bank becomes your adversary - not your friend.

Here's one small sample of ruthless credit tactics: get out a copy of your credit card agreement with a bank - any bank, since they all do this - and look carefully at the fine print. You'll find, if you look hard enough with a magnifying glass, that there is a nasty clause that informs you of the following: "Interest rates will be substantially increased in the event that debtor defaults on monthly payment agreement."

That's right. The banks will kick you while you're down! Just when you most need them to LOWER the interest rate, so you can dig yourself out of trouble faster, they start charging a HIGHER interest rate. In our opinion, this should be illegal, but unfortunately it's not. We've seen interest rates jump from an already ridiculous 20% to 27% when a debt goes delinquent. In the good old days, people went to jail for charging that kind of interest. But today, they just become bank presidents.

If you're feeling depressed about all this talk about interest rates and debts - CHEER UP! Here's the good news. There is HOPE! Help is available through the company and people who introduces you to this website or our Success Seminars Series - if you are willing to take action in your own best interest. You don't need to go it alone. That one of the major mistakes made by individuals reaching for the American Dream, they try to do everything by themselves and when adversity strikes and in many cases it does, they have no one and no resources to keep the going. If you are a typical American family, you may have about $25,000.00 to $30,000.00 or more worth of credit card debt as asset to the bank, no including your home mortgage, car loans and student loan payments and you're paying between $500.00 to $1,000.00 every month in endless minimum monthly payments.

Here's the bad news: It will take you between 20 to 30 years to pay off your debts using the minimum monthly payment method. The good news is that by using our Rapid debt-Reduction Program Strategy, you can be completely out of credit card debt in 2 to 3 years and have all your other debts paid in 5 to 7 years including your home mortgage, without increasing your monthly outlay!

Impossible, you say? Read on, friend.

Let's examine the six basic strategies for dealing with a number of your debt problems:

    1. Do it yourself

    2. Debt Consolidation

    3. Credit Counseling Services

    4. Filing Personal Bankruptcy

    5. Debt Negotiation

    6. Rapid debt-Reduction Programs

We'll deal thoroughly with each of these options in turn, so you'll understand the full range of choices available to you.

This is the most common strategy among consumers with debt challenges. Most people take the "Do-It-YourSelf" approach to life's problems. They only seek advice or help when things get out of hand. It's no different when it comes to debt troubles. Unfortunately, for most people, this really becomes a "Do Nothing and Hope the Problem Goes Away" strategy. Our nickname for it is "The Ostrich Approach." (by the way, ostriches do not actually stick their heads in the sand in response to danger .... you get the idea.)

Please believe us and understand our point of view. We're firm believers in self reliance, and only YOU can decide when it's time for some help. Maybe you really WILL win the lottery and everything WILL suddenly be OK. But more likely, if you're only able to make minimum payments on your debts, with no immediate prospects for an increase in income that will enable you to pay off your debts at a faster rate, then you are on a slippery slope that leads to a financial cliff. "Doing it yourself" really becomes "doing yourself in."

We're going to go into a lot of credit cards detail activity in this section, simply because we need to prove to you that you probably don't know as much about your own debts as you might think you do. And at this point you think the bank you have been paying the interest to all these years is looking out for your best interest. With all due respect: you are an amateur, and you are up against master financial professionals. So let us walk you through a typical credit card collection scenario. That way, you can get a feel for what you're in for if you use the "DIYS" approach.

Let's say your total debt load is $25,000, spread over five different credit cards. To keep the math simple, let's also agree that each card has almost reached the maximum balance of $5,000. So you are "maxed out" on each card. Let's focus on one particular card, a Visa card from ABC Bank. You've had that card for ten years, and faithfully made your payments on time until recently. Let's also assume that you have an honest and legitimate hardship situation that is making it very difficult for you to keep up your minimum payments.

The annual percentage rate is 20%, and your minimum monthly payment is 2.0% of the balance. That makes your minimum monthly payment $100, right? (You can check all these calculations against your own bills.) how much of that $100 is going toward the debt itself (also called the "principal"), and how much is going toward interest? Well, if the interest rate is 20%, then you're paying an average of $83.33 in monthly interest charges! That's right! Only $16.67 out of your $100 monthly payment goes toward the debt itself.

Leaving aside the fact that it could take up to 25 years to pay off your debt at that rate (depending on how the bank computes the interest), you have a more immediate problem: you've exceeded the credit limit. At this point, you have three choices: (a) send in more than the minimum to ensure that the balance remains below the maximum credit limit, (b) call the bank to authorize an increase in your credit limit, or (c) pay the over-limit fees that will begin to accrue.

What most people do in this situation is take each bill as payment comes due and then do the best they can at that point in the month. For the average person, it's too stressful to think about $25.000 or more of debt all at once, so they consider each bill in turn.

ABC Bank's statement asks for the usual $100 minimum payment, plus a $29.00 over-limit fee. You pay the $125.00, but now you're $29.00 short on your monthly budget. So when the second credit card comes due later in the month, you're short on the minimum payment. why not skip paying the second card that month?

You go on this way, paying some of the minimums one month, others the next month. You've just set foot on that slippery slope into a downward spiral of financial desperation. Why? Because it is exactly at this point that your creditors turn against you and raise your interest rates!

So what does the normal "do-it-yourself" person do? They take action. They get on the phone and call the credit card bank. They try to negotiate a lower interest rate or a minimum payment or both. Banks are not manage by dummies. They will accommodate your initial phone calls by routing you to a customer Assistance Team or some similar department. They will listen to your tale of woe, even though they couldn't care less about you as an individual, since they are not the one to have caused your financial problems and as an employee they are getting paid because of your money management problems. Then they will - depending on how good you are at explaining your predicament - either attempt to shame or pressure you into making the regular payment, or they will try to implement something called s hardship program. Most people jump at the hardship plan.

Big mistake. They have you right where they want you. So let's say that the bank agreed to waive the penalties and fees for six months, and that they also agreed to lower the interest rate to "only" 12%, down from the ridiculous 25% they bumped you to when you missed a payment. most people would feel that they had accomplished something at this stage.

The truth? You've been tricked! Let's do the math.

After six months on the bank's version of a "hardship program," you're right back where you started from. Oh, maybe you're a little better off, but not much. If your debt was $5,000 before you started missing payments here and there (while juggling the other over-limit card payments), and they lowered their rates to only 12%, you still have a big problem. Even with that lower interest rate, only $50 of your $100 minimum monthly payment goes to the principal, with the other $50 going to interest.

So, after six months (the maximum for most hardship programs) on the bank's plan, you've brought the debt down from $5,000 to $4,700. Big deal! Unless you can make substantially larger payments after the six months are over, you're just spinning your wheels. The minimum payment on $4,700 (at 2.0% monthly) is $94. Will that whopping $6.00 make any real difference to your monthly budget? It's better than a poke in the eye with a sharp stick, but not by very much!

There's another problem. Most banks will only show mercy ONCE. After that initial "hardship" program has expired, the account reverts back to the original terms, and you won't have a second chance at another assistance program. Tough luck!

So, if you're feeling macho, and you simply have to "do it yourself," best of luck to you!

Debt Consolidation is another popular approach to managing a burdensome debt load. When most people use the term "debt consolidation", they mean one thing. But most of the services out there in the financial marketplace offer debt consolidation actually mean something entirely different.

Here's a simple multiple choice question:

a) Borrowing enough money from a bank or finance company to pay off all your bills at one time, leaving you with a lower interest rate and a single lower monthly payment.

b) borrowing against the equity in your home to pay off credit cards and other unsecured debts.

c) A service offered by non-profit organizations called Consumer Credit Counseling Services, who work with your creditors to lower your interest rates and help establish a repayment budget.

d) Bankruptcy under the Chapter 13 procedure.

e) All of the above.

f) None of the above.

What's your guess answer? _____________________

The chances are that you'll pick (a), because that is what most people think of as true debt consolidation. However, the correct answer is (e) "all of the above." Let's take each one of these variations on debt consolidation in turn.

a) BORROWING - Say you owe $25,000 in credit card debts, to be consistent with our previous example. Remember that it will take you up to 25 years to pay off those debts with minimum payments, depending on how the bank handles the interest calculations.

If you go to a finance company instead, and borrow $25,000 at 12% interest, with a $400 minimum monthly payment, you'll have the loan paid off in less than 9 years using a lower monthly payment. sounds better, right?

There's a problem, though. Who's going to lend you $25,000 without collateral (like a house or other property)? In the real world, few people who do "consolidate" are accomplishing what we've described here. Very few people who are in financial trouble have access to credit necessary to borrow the lump sum in the first place. If you're behind on your payments, expect that to show up on your credit file, and therefore expect to get turned down by every loan officer in town.

If you're still current on your payments, you might pull this off, but it's still unlikely that you'll be able to borrow enough money to solve the problem. (many people simply add to their debt this way, by obtaining another line of credit, which then becomes another financial part of the original money added to the problem.)

This is also where the scam operators flourish. Desperate consumers respond to advertisements for "guaranteed loans." The ads state "no credit check required" and offer attractive terms. BEWARE: these are usually variations on the "Advance Fee Loan Scam." The catch is the operator on the other end of the telephone asks for a payment up front in order to process the application, anywhere from $25 to $300 or more. You send the money and never hear about the loan, or you are turned down for the loan. People in financial difficulties are usually too broke to hire an attorney to chase the scam artist who ripped them off, or they're simply too embarrassed to go after them. Don't fall for this con game. If you're going to borrow money, do it in your hometown, where you can look the lender in the eye!

b) EQUITY - Another variation on "debt consolidation" is based on your ownership of real estate. If your home is worth more than you paid for it, you have equity, and many banks will gladly lend you money against it (assuming your credit report looks good enough). There is little risk to the lender, because if you should default, they can force a foreclosure on your property to recover their money.

so, let's say you have $25,000 in equity in your house, and you find a bank willing to loan you $25,000 with your house used as collateral. This is the ever-popular "second mortgage" or "equity line of credit." You then pay off your credit cards. At this point in the program, things can go well or not so well. If you are a very disciplined person financially, and your hardship situation was temporary, you may emerge from the scenario with your credit intact. You still have the same level of overall debt, but it is structured in a way that you can live with it.

Many people, however, find that they end up in much worse shape using this approach and why we stress to you that making these financial changes without the necessary follow-through Success Education & Entertainment Training Memberships Programs, to develop the money-mindset you'll need in the future, you are rapidly heading toward the next item on the debt list - BANKRUPTCY! Why? Because they suddenly have $25,000 worth of credit available with new credit card offers coming in the daily mail. They get busy planning for the holidays, or they just have to have that awesome home theatre system for $3,500 or more. Before they know it, they owe $10,000, $15,000, or even $25,000 again on those pesky credit cards, PLUS they have the second mortgage to keep up. The result is financial disaster!

There's also another big problem with borrowing against your equity. You trade an unsecured debt for a secured debt. If you default on a credit card balance, the creditor (if you ignore the problem long enough) can sue you and obtain a court judgment. Then they can put a lien against your house, so that if you ever sell the house, you're forced to hand over the money. but they cannot force the sale of your house. A secured debt is a far more serious matter, because you've pledged your house as collateral for the debt. If you default on a debt that has been secured by your house, then you risk losing that home.

Why trade unsecured debts for secured debts? For most people, this is not the best move to make. Yet countless individuals fall for this trap year after year after year.

c) CREDIT COUNSELING - The third variation on "debt consolidation" is not really consolidation at all in the truest sense of the word, as described above. Instead, you are enrolled into a Consumer Credit Counseling Program. You meet with a counselor who analyzes your monthly budget. The counselor then makes contact with your creditors and attempts to get them to lower the interest rate temporarily. You make one monthly payment to the counseling agency, which then disburses the funds to your various creditors, but in most cases when they are due.

The theory here is that your overall payment per month is lower due to the counselor's success at obtaining lower interest rates and more favorable terms with the credit card banks. This approach is the most often recommended by banks themselves, and in the financial press Credit Counseling is touted as the cure-all for debtors who are in over their heads.

So, does this really work? Well, maybe yes, more likely no, depending on your situation. First, you have to understand that the counseling service, while in theory is a non-profit organization, actually receives compensation from the bank you owe the money to. So, whose side are they really on - the side of the consumer who's paying the monthly $20 administrative fee, or the bank that's paying 7% of the restructured debt? You don't need to be a genius to figure out that the CCCS program won't work for a lot of people.

Second, most credit counselors are not going to work all that hard at getting an uncooperative bank to cooperate in your behalf. The net result is that they simply enter into the typical hardship program that you could have easily negotiated for yourself without the extra fees.

Third, with a CCCS program, the most frequent complaint we've heard from ex-participants is that they have no insight into what the CCCS agency is doing on their behalf, and they have virtually no control over the process. They send in their single monthly payment, with no idea of how much is going to which creditor, and since most counselors are busy people who work based on high volume, getting a return phone call can be difficult.

Now, we're not saying that all CCCS organizations do a poor or lackluster job. Like any business, there are good and bad services out there. However, they don't really SOLVE the financial problems you have at all. In other words, if you walk into the office of a credit counselor owing $25,000 or more, you'll still owe $25,000 when you walk out.

One thing that a counseling agency can do is to GET THE PHONE TO STOP RINGING. This can indeed be a lifesaver, if you are already getting collection calls and the banks are starting to make your life miserable and you are starting to live a nightmare instead of the American Dream. But in my judgment, credit counseling is a helpful approach only for the consumer who knows that their financial hardship is temporary (say six months or less) and simply does not want to deal with the hassle of handling the phone calls in the meantime. Otherwise, stronger medicine makes more sense.

d) CHAPTER 13 - The final form of "debt consolidation" is actually not consolidation at all, but rather a form of bankruptcy called "Chapter 13." We'll discuss it below under its proper heading. Be forewarned, however, that many (if not most) of the ads you'll see for "debt relief" or "debt consolidation" are really attorneys advertising to take you through a formal declaration of bankruptcy. Watch out!

Since our company doesn't handle bankruptcies at all and it has been used for many decades in this country on a national scale, we can honestly say that it's the "end of the line" for the debtor who is drowning in debts. Bankruptcy is the ultimate trump card. A declaration of bankruptcy forces all commercial creditors to cease and desist from attempting to collect the debts owed them; it stops wage garnishment, reverses judgments, and generally wipes out the debts, depending on which form of bankruptcy is declared.

Frankly, for some people, bankruptcy is the only realistic option. If you owe $50,000 in debts, and you'll never earn more than $1,000 per month, then you're broke! The sooner you face the music and wipe out the debts, the sooner you'll have a fresh start. Judging by the record number of bankruptcy filings during the past few years, this is a very popular option among consumers. In fact, so many people have filed personal bankruptcy lately - more than 1.4 million in 1998 alone - that Congress is considering legislation that will make it tougher to take this option.

There are two forms of personal bankruptcy: Chapter 7, usually called "Straight bankruptcy," and Chapter 13, usually called "consolidation bankruptcy" of "the wage-earner's plan." Chapter 11 is used for business restructuring and Chanter 12 is used for Family Farmers. We're not sure why anyone would ever want to file a Chapter 13 bankruptcy, since under that approach you end up paying back most of the debts over a three to five year period anyway, plus you have the bankruptcy on your credit history for ten years. We suppose there are certain unique circumstances such as religious that would point a person toward a Chapter 13 type of bankruptcy, but the majority of people file the chapter 7 bankruptcy.

Basically, the way it works is that certain personal property is treated as "exempt," meaning creditors cannot touch that property in attempting to recover the money you owe them. An automobile, a certain amount of home equity, personal effects like clothing, and some other assets, are usually considered exempt, although the exact details vary from state to state. Any property that is not exempt is liquidated and distributed to the creditors under the supervision of the court. Since most people entering bankruptcy have only exempt property anyway, there's usually nothing left to distribute, so creditors typically get nothing.

Debts Dischargeable & Nondischargeable

Dischargeable debts are those debts that can be discharged through bankruptcy proceeding, such as credit card debts. However, there are a myriad of Nondischargeable debts - debts that you cannot dissolve, or wipe away, through bankruptcy. In a Chapter 7 Bankruptcy, Nondischargeable debts cannot be discharged at all, and in Chapter 13, these debts will remain even after you have complete your repayment plan.

Nondischargeable debts include: debts you neglect to list on your bankruptcy filings, child support and alimony, student loans, legal debts owed to the state, and tax debts.

In a Chapter 7 bankruptcy, certain other debts may not be discharged as well, such as debt you incurred fraudulently (such as lying on a credit application), credit card purchases you made within 60 days of filing, loans or cash advances over $1,150 you made within 60 days of filing, debts acquired through embezzlement or larceny, and debts owed under a divorce settlement.

Unfortunately, it's too easy to file bankruptcy in this country. Many people mistakenly view it as a free lunch. There are HIDDEN COSTS associated with bankruptcy that makes it a very bad solution for most people. (The cost of filing a bankruptcy itself is minimal. Depending on what state you live in, and depending in how much your attorney charges to perform the service, you can expect to pay anywhere fro $300 on up to $1,500 or more for the whole process in addition to going to court.)

So what are the hidden cost? Simple: You'll pay through the nose for important purchases that you make later in life, up to ten years. The bankruptcy stays on your credit file for ten years. Let's say you want to buy a house three or four years after having filed bankruptcy. If you're in good enough shape at that point to qualify for a mortgage, you'll be able to buy the house easily enough. The problem is that you'll pay a higher interest rate than the average consumer who has never filed a bankruptcy.

Let's look at the numbers. Assume you buy a $200,000 house a few years after filing bankruptcy, and you make s $20,000 down payment. if you obtain a loan at 9% interest on the resulting $180,000 mortgage, versus 7% for an individual with clean credit, you might think that the extra 2% interest is not too bad a sacrifice for having filed bankruptcy in the past. Wrong! That extra 2%, over the life of a 30-year mortgage, will increase tour monthly payment from $1,198 to $1,448, and the total of your payments will be more than $90,000 higher.

As you can see, bankruptcy is not a free lunch. It can be a very, very expensive lunch. Still, it may indeed be the best solution to your particular financial management problem. If you have no choice, then you should consider whatever options you take with a clear conscience that you made the best decision with the information you had available to you at the time. But the majority of people who take this option really don't know what they're getting themselves into. They are desperate, and they get talked into filing bankruptcy without a clear and complete understanding of all the hidden cost to come up in their financial future.

We'll end this subject on bankruptcy by offering three insights that we have gleaned from our years of professional experiences:

1. Most personal bankruptcies are completely unnecessary, since there are usually better options available.

2. Many consumers are forced, against their wishes, to file bankruptcy to protect themselves from aggressive creditor tactics.

3. Bankruptcy still remains and means FAILURE to most people.

Few people realize that there are other solutions to burdensome debt, an approach that puts YOU in the driver's seat, that levels the playing field between you and your creditors, without you having to go to court. That debt solution maybe Debt-Negotiations - good old fashioned American haggling. Haven't you ever haggled over the price of a purchase? Well, exactly the same thing can be done for your debts!

Just imagine. If you could wave a magic wand and turn that $25,000 of credit card debt into $12,500 or even as little as $9,000, wouldn't that make a HUGE difference to your financial future? You bet it would! Most people are skeptical that this approach is possible. But if you have a professional debt negotiator on your team, the odds are very good that he or she can cut your debt load in HALF or less.

How is this possible? It's very simple, actually. Put yourself in the shoes of a manager of a collections department for a major credit card bank. You know that bankruptcies are at an all time high, that consumers file bankruptcy at the drop of a hat these days, and that the chances of collecting any money gets worse as the debt ages. You have the opportunity to close your books on a delinquent account by collecting 50 pennies fro every dollar owed by the debtor, or take a chance on never collecting a single penny by trying to hold out for the full account value. You also realize that once the debt leaves your bank (usually after six months or so), it will go to a third-party collection agency. The agency will take at least 15% - 20% commission right off the top of whatever they collect, and they are unlikely to collect more than 70% of the debt even with the most aggressive tactics. So you'll probably never retrieve much more than half the money anyway. When you look at it this way, collecting 50% now doesn't seem like such a bad prospect.

Now, the way we've described it above, it sounds like a piece of cake. You might be thinking, "OK, I'll get on the phone and do this myself." What will happen? You'll reach the "customer assistance team" described above, and the representative will inform you that other banks may settle for 50%, but their bank never settles for less than 85%, under any circumstances. But, of course, they do have that wonderful hardship program for you.

After you've called five or six banks and received the same treatment, you'll probably end up with the idea that debt negotiation doesn't work. The problem is that the banks will rarely take a debtor seriously. Unfortunately, they simply don't believe you and they think your hardship story is phony. The banks are quite prepared for the amateur do-it-yourself negotiator. They have the telephone scripts all set up so that by the time the conversation is over, the caller feels guilty about the money owed, and their lame hardship plan sounds like a great deal after all.

We're professionals, but if one of us ever got into a financial pickle, we would never negotiate our own debts. Instead, we would hire one of our colleagues to do the job for us. We can't emphasize this enough. The professional athletes are paid millions of dollars to be the best in their sport but when it comes to their contracts they have a professional agent doing the job for them and they work as a team in the game they play for a living also. Just having third party professionals on your team as well makes all the difference in the world. there is something almost magical about this simple approach. Once the banks realize that they are talking to professionals who know the fair credit collection rules and regulations, then they quickly change their tune. Professional negotiators will obtain better results than you could ever obtain on your own, simply because all the banks tactics are stymied by the fact that they can't talk directly to you. They can't apply psychological pressure to you, since this is filtered out by your debt negotiations representatives. Besides, there's no shame in seeking help with your credit card and other debts. Look at it this way: the banks pull out all the big guns when you fall behind. They have an army of collectors ready to pressure you with carefully scripted techniques. They have collection agencies and attorneys waiting in the wings to go after you full throttle. Doesn't it make sense to level the playing field? Doesn't it make sense to concentrate on improving your finances and let someone else deal with the aggravation of the incessant phone calls that start flooding in once you get behind

Let's go over the negotiation process in a little more detail. When you become a client of ours, we will impose two simple rules for you to follow:

Rule No. 1: Don't talk to your creditors.

Rule No. 2: Don't send your creditors any money.

Do you think you can handle those two simple rules? They're tough, aren't they? You'd be surprised though. Some clients just can't deal with it. They are so conditioned and accustomed to sending out those minimum monthly payments every month, that even though it's literally killing them financially, so much so that they can't handle Rule No. 2. Let me explain exactly why these rules are so important in the negotiation process.

Rule No. 1 is important because only one person can negotiate your debts for you. If you only allow the negotiator to handle some of the phone calls while you make others yourself, the odds are high that you will say something that is not in your best interest, thereby undermining your negotiator.

You've seen the cop shows on TV, where they always read the suspect his or her rights while they're being arrested. "You have the right to remain silent," and so forth. Well, in the debt collection process, there is a similar rule. a debt collector is supposed to tell you the following: "This is an attempt to collect a debt. Any information you give us will be used for that purpose."

Your debt negotiator knows exactly what information to disclose, when to disclose it, and when to withhold information. The average person, on the other hand, has no id what to say in that particular situation. We tend to respect authority or people we perceive to be in a higher or superior than us on the ladder of success. Since you have created an invoice and are a debtor to the company, you have automatically placed yourself in a lower without thinking otherwise. They are just employees hired to call you about your account balance and nothing more. It's all about the money you owe and they are not going to come to your home and place their hands on you.

But they will use words and only words to intimidate you into sending them the minimum monthly payment and you feeling you are at a lower status will respond in a manner that is not in you best interest. Debt collectors have a lot of nerve and present themselves authoritatively they ask you where you work, how much money you make each month, how much you pay in rent or what your mortgage payment is, and so on. The answers, quite frankly, are none of their business. But most people feel compelled to answer, in a misguided attempt to establish rapport with the collector, thinking they can do some to relieve the collection process.

So, the first rule KEEP QUIET, and let the negotiator do all the talking for you.

Rule No.2 is even more basic. Don't send good money chasing after bad. If you've been making endless minimum monthly payments and not getting anywhere in your debt reduction process, then it's time to STOP the madness. Why waste more money in a losing financial battle that you will ultimately end up loosing the war.

DISCLAIMER: It's very important since you've come this far with me that you fully understand us plainly here. We're not advocating that everybody suddenly quit paying their bills because just read the few words above and haven't continued to see the best solution we have in store for your particular financial situation. If you have sufficient income to reduce your debt the ordinary way (by reducing the balances with payments in excess of the minimums), an ethical debt negotiation firm will not take your case anyway.

So Rule No. 2 applies to the person who is suffering a legitimate financial hardship, one who will experience serious difficulties, such as a home eviction or car repossession, if they continue trying to keep up with their endless stream of credit card minimum monthly payments.

The negotiation process will make more sense if we walk you through a "nuts and bolts" example. To be consistent, we'll use the previous example. Let's say you owe $25,000 on five different credit cards plus your home mortgage, each card has a balance of $5,000. You've been paying an average of $500 per month in minimum monthly payments, making sacrifices along the way, only to see your total debt stay the same or even grow due to late fees or over-the-limit penalties.

Well, the first thing that will happen is your telephone will start ringing off the hook, and the banks will want to know when their monthly payment is coming. However, with us on your side, the banks are required to call us instead of you to find out what's going on, so you can relax and not worry about the pressure of collection calls. Our negotiators talk patiently with each bank representative as they call, and explain the nature of your hardship.

From the very first call, the negotiator informs your creditors that your aim is to "settle" the accounts for a substantially reduced amount. Now, during the initial months, most banks will not settle. Sometimes it takes 20 or 30 phone calls for your negotiator to reach an agreeable settlement. Let's say that three months have elapsed. Over a total of four months, you've set aside $2,000 in your settlement fund ($500 times four months), because you haven't sent a dime to a single creditor for four months.

What happens next? One of the five creditors decides to get it over with and agrees to accept a 50% settlement, provided payment of the full $2,500 can be made within 30 days. Since that gives you another month to work with, you'll have the $2,500 saved, available and ready to send from your settlement budget account your negotiator obtains a written settlement offer from the bank and sends you a copy. You release the funds, payable to the creditor, and the negotiator forwards the full payment on your behalf. Everything is properly documented for your protection and nothing is left to chance.

So what just happened? You paid $2,500 from the settlement account to wipe out $5,000 worth of credit card debt, and the negotiator saved you $2,500 in the process. After five short months, your total credit card debt stands at $$20,000, instead of the original $25,000. You've just eliminated 20% of your problem debt in just five months!

Further, you've traded an open account situation for a closed one. That $5,000 credit card debt that we just settled would have continued growing and growing in compound interest with no end in sight. Instead, we've traded that never ending situation for a defined settlement of $2,500, and once you've paid that $2,500, you're done with that debt. It's out of your life forever!

Remember, on the banks hardship plan, after six months, you'd still owe around $4,700, or ZERO? The power of this approach for rapid debt elimination is simply incredible.

"But what about my other four debts?" You may ask. Good question! It's important that you understand. The debts are negotiated ONE AT A TIME, based upon your cashflow, budget and your ability to handle the settlement amounts, after you accumulate the amounts. The other four creditors are informed of the first settlement by your negotiator, when it is appropriate to do - and the encourage the other creditors to cooperate.

The other creditors simply have to WAIT THEIR TURN. Now, let's do the arithmetic and see how long it would take to completely wipe out $25,000 worth of debt using this approach. If we cut $25,000 in half (50% settlements), that's $12,500 in remaining debt, divided by the $500 per month budget, equals 25 months.

So in a little over two years, the client in the above situation could be completely debt-free, without spending any more per month than they were already pay in minimum monthly installments!

To be completely fair, the above example is simplified and ignores some of the complexities that can arise, but the basic math is sound. In fact if frequently works out better than this. If the settlement average comes down to 35% (which is quite common), then the process could be completed in only 18 months.

We'll be the first to admit that the debt negotiation strategy is not for everybody. But for those who qualify, it's a no-nonsense financial recovery program that makes good sense.

The following list of questions and answers will help you decide whether or not you should consider a debt negotiation financial strategy for your recovery process.

1. Do you have a legitimate financial hardship condition?

This will usually take the form of loss of income, a medical condition, death of an income producing family member, divorce or separation, loss of child support payments, or some serious event that caused a severe financial setback in your budget. It doesn't always have to be drastic, but there should be an identifiable circumstance (or set of circumstances) that got you into this phase of financial trouble.

2. Are you committed to avoiding bankruptcy if at all possible?

Just about every debtor who tries to negotiate with a bank threatens bankruptcy. A proper negotiation strategy will take the opposite position, by promising that bankruptcy will not be filed if the creditor agrees to a workable arrangement. This promise is essential to the process. We are the alternative to bankruptcy.

3. Do you own more than $10,000 in unsecured debts?

If your debt level is much below that, it becomes unrealistic to apply negotiation strategies at the aggressive level we've been discussing. Discounts can be obtained and favorable arrangements made, but frankly, major reductions in debt are much more difficult to obtain. A level of $20,000 to $50,000 is more typical, although there is no fixed rule. It also depends on the exact nature of the debt.

4. Are your debts primarily from credit cards, student loans, home mortgage loans?

The negotiation strategy described above works well for a variety of debts, but the hands-down winner is credit card debt. The steepest discounts and greatest success can be obtained with credit card accounts. Department store charge cards, financing contracts, and miscellaneous bills can also be negotiated, but with less predictable results. Medical bills are often negotiable, depending on the background of the case, usually with good results. Student loans usually cannot be negotiated (since there are Federal Loans, Uncle Sam can dip his hand into your tax return refund to collect the balance). Auto loans can be refinanced, but generally not reduced. Mortgages can be rescued from foreclosure with a variety of techniques, but of course you'll still be on the hook for full value.

5. Is your monthly budget up to the job of getting you out of debt?

All the best intentions in the world won't help if you have nothing to offer your creditors. A good rule of thumb is that your monthly budget should be around $150 - $200 for every $10,000 of debt. So if you owe, say $30,000 total, then your monthly budget should be around $450 - $600.

6. Do you have additional resources available to work with?

Even if you can only manage a small monthly amount toward debt reduction, are there other resources at your disposal? Examples include cash-value insurance policies, borrowing from family, or even the sale of unneeded household items. Is there other property you could sell to raise capital.

If you have a condition of financial hardship, committed to avoiding bankruptcy, owe more than $10,000 of Credit Card debt, and have some resources to work with, then you should definitely give serious consideration to the debt negotiation strategy, only, after you have completely studied our final Rapid Debt-Reduction solutions strategy below.

1. What happens to my credit?

Once a debt is settled, the settlement is reported to the credit bureaus, settled accounts are positive compared to bad debts or bankruptcy. In some cases, especially with clients who have pristine credit before starting the process (which is rare), the credit rating may decline on the front end until the debts can be cleared up, whereupon the rating will improve again with time. But most clients experience an overall improvement in their credit file once the settlement process has been completed. There are also several useful techniques for repairing your credit later on you can you and we can improve and repair your credit also. Of course, credit is an important thing to have, but obviously your first priority should be to clear up your debts and get back on your feet financially. Once you are ready, we can assist you with the process of credit arbitration.

2. How does the debt negotiator get paid?

Good debt negotiators work on a contingency basis. This means that unless they achieve an acceptable settlement, they are not entitled to any fees for their services. Further, most negotiators charge a fee that is based on the amount of savings they achieve. When the fee is structured this way, the client is always in a NET SAVING POSITION. There will also usually be a small administrative cost at the start of the program to establish your account and the opportunity for you to indicate your true intentions.

3. Is this legal?

Definitely! You have the right to appoint a third party to represent you in debt matters. While we are attorneys or accountants and we do not furnish or give legal or accounting advice, we have settled debts with the largest credit card banks in the nation on behalf of our clients. The service we perform is perfectly legal in all 50 states.

4. What are the income tax consequences?

Banks are supposed to report cancelled debts exceeding $600 to the IRS and you are supposed to report the same as income on your annual tax return. However, the IRS permits you to write off any "income" from cancelled debts up to the amount by which you were "insolvent" at the time. So, unless you have a positive net worth, which is highly unlikely if you're deep in dept, then you ordinarily won't have to pay taxes on the forgiven amounts. When in doubt, consult your tax advisor for further information.

5. What about lawsuits?

Lawsuits are far more rare in debt matters than most people think. Some debtors fall behind, don't make payments for years, and never hear from a single attorney. Of course, the bank has the right to sue you to recover their money. But generally, if you keep up a dialog (through your negotiator) with the bank, they will prefer to work out a solution rather than sue. In fact, lawsuits are one of the chief reasons that many people are reluctantly forced into bankruptcy. However, when you take the negotiation approach, lawsuits can normally be avoided if you are willing to work out an arrangement with your creditor.

6. Can my wages be garnished?

A common tactic used by aggressive debt collectors is the threat of wage garnishment. If you're already struggling financially, nothing is scarier than the prospect of having money taken out of your paycheck without your permission. Collectors try to make it sound like this will happen on your very next paycheck if you don't send a check immediately. This, quite simply, is false. The creditor first has to sue you, obtain a judgment, and then file for a garnishment action. See Question No. 5 above. If you're willing to work with your creditors through you debt negotiator, all this can be easily avoided.

7. Can I do this all myself?

Certainly you can, but we can't imagine why you'd want to! Any discounts you achieve on your own will not be as deep as those obtained by a professional, and you'll spend countless frustrating hours in the process.

8. Will I still be able to use my credit cards?

NO! Since the banks are giving up half or more of the money you owe them, they will of course discontinue your credit privileges. However, many clients should also keep current on one card with a small credit line fro emergency purposes.

We've told you about all the other debt solutions opportunities in the marketplace and what they say they will do to solve your particular financial challenges so that you can now look at the following Rapid Debt-Reduction solution with that information, with your eyes wide open and an open mind about what action you may choose to take, since we've takes the time to first show you what's available and what will happen with the other options, you might as well read the rest of what we have to say. GOOD!

We have taken the time to educate and make you aware of the rest of the open market debt solution options, so that you would have no doubts, fears or worries when we showed you the best financial freedom programs, products & Services available in the marketplace anywhere. The Seeds Of Success Int'l Inc, Success Education & Entertainment Training Memberships - Business-To-Business Networking Alliance & Rapid Debt-Reduction Programs was developed in those three phases for individuals seeking financial freedoms through the American Dream and yet most are actually living a daily financial nightmare and are now for a lifetime, they are a credit card and home mortgage loan interest paying slaves to the financial institutions they have opened accounts with.

To see whether you fully qualify for this Rapid Credit Card & Mortgage Debt Reduction Programs, give us a call at 619-420-7726 for our FREE PHONE CONSULTATION with NO OBLIGATION. After we have an understanding of your situation, we can better make suggestions as to whether this debt reduction approach will work for you. Because you are not one of our registered clients, we cannot offer you advice at this point. That's it, the decision, it's all up to you! You have nothing to lose except a mountain of your consumer debts.

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