Debt Relief: Litigation and Negotiation

March 15, 2016

Despite signs of an upturn in the economy, for many Americans, debt continues to be a problem. Financial stress will wear you down to the point that you may believe there is no hope of recovery. Not being able to keep up with your debt financially takes a toll on your life. This includes your health, ability to focus at work, and quality family time. If you are struggling, it can be an asset to hire legal counsel skilled in debt negotiation and litigation to help.

Ziegler Diamond Law: Debt Fighters focuses on debt negotiation and litigation. Our legal counsel can help relieve financial strain by negotiating with your lenders. There are many ways a loan may be able to be altered, including:

  • Reduce debt balance;
  • Reduce your interest rate;
  • Extend a repayment period;
  • Or a combination of these modifications.

Any form of debt may qualify for negotiation, subject to the negotiability of the creditor, including:

  • Credit Cards;
  • Personal Loans;
  • Business Loans;
  • student loan;
  • Vehicle or Home Loan.

Reduction in Interest Rate

One way to lower debt is getting your interest rate lowered on a loan. One problem with this is most banks aren’t in the market to give consumers a break. Start by calling and asking for a lower interest rate, and keep in mind not everyone gets approved. Your credit score often determines whether you can renegotiate your interest rate.

One way to negotiate with credit card companies is telling your lender about any competitive offers you might have with better APR’s. That way, if they refuse to budge, you can just move your debt to the new lender. In doing so, be wary of introductory periods that may make the offer seem better than it is.

With personal loans, if your lender refuses to negotiate, search for a lower rate with another bank. Then, pay off the existing loan with the new one. For business, vehicle and home loans, you can request refinancing.

Reduction in Balance

On some occasions, creditors may be willing to negotiate on the total balance owed. This is most common when a debt has been re-sold to a different collection company. In some cases a creditor will cancel part of your debt in exchange for a lump sum payment.

Extension of Repayment

Calling and requesting an extension of the length of payment is an option depending on how far behind you are. You may not be able to extend the loan repayment out far enough to make ends meet. Extending the length of your loan may also come with additional fees, that in the long run is not good enough.

For those so severely in debt, working overtime or getting a second job can be futile. Getting legal counsel to help with your debt relief is the best course of action. A debt litigation attorney can use a combination of methods to reduce or eliminate your debt altogether.

If your situation has come to the point of being sued, The Law Office of Michael A. Ziegler, P.L. may be able to assert legal defense on your behalf. Don’t wait until things spiral out of control, call us today for a free case evaluation at (727) 538-4188, or contact us online. We look forward to helping you relieve your debt!

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About the Author

Ziegler Diamond Law: Debt Fighters, provides effective legal services to consumers in Clearwater, Florida, and throughout the Tampa Bay area who are facing home foreclosure, unmanageable debts, debt collector harassment, or other debt-related problems.