The Consolidation Process

The better you understand the consolidation process, the more informed you will be as a consumer. Here is an explanation of how consolidation works.

Washington Debt Consolidation Process

Though the approach to debt consolidation will vary by service, most Washington Debt Consolidation companies use the following process. Here is how your debts are usually consolidated:

1. Your company has pre-negotiated interest rates with most creditors. Before you turn into a customer, your Washington Debt Consolidation program will have negotiated lowered interest rates with greater major creditor lenders. The rates are attainable selectively to consolidation customers. These reduced interest rates usually range from 0%-8% on average, depending on your creditor and your service.
2. These lowered interest rates are imposed to your debts. Once you turn into a customer of a Washington Debt Consolidation service, the service shall impose the lowered rates negotiated with your creditors to your bills. The service will usually reference a rate document to ascertain the rates they have contracted with your creditors and then apply them to your new payments.
3. Your new payment is determined. Your brand new bill will be determined based on the reduced rates your Washington Debt Consolidation service has imposed to your accounts. This new payment represents the amount you will pay each month to your service.
4. You establish one, simple monthly payment to your consolidation service. Once your debt accounts are consolidated, you shall establish one, simple payment to the consolidation provider each month. You can even sign up for automatic withdrawal with most Washington Debt Consolidation services so you don't even have to stress about writing a check.
5. Your Washington Debt Consolidation service will divvy up your payment among your creditors. When your Washington Debt Consolidation service receives your payment each month, they shall at that time distribute your money among your credit lenders to pay your bills. This way, your bills are always on time and you never have to stress about dealing directly with your creditors again. From the time you consolidate, your service will establish a dialogue with your creditors each month so you do not need to. Please check out our FAQ page if you bear any inquiries.