Most Americans struggle to balance their finances, and many find themselves looking for debt relief. Debt consolidation is a way to settle debts and avoid bankruptcy. Our partners at ConsumerAffairs researched the best debt consolidation in Omaha to guide you to a better financial future.
Nearly half of Americans have trouble paying their bills each month. The costs of medical bills, housing and food are exceeding income growth. And recently, total credit card debt passed $1 trillion for the first time since the Great Recession of the late 2000s, according to a study by the Pew Research Center. All of this can increase the likelihood of debts not being paid.
Like so many Americans, those living in Omaha find themselves needing debt relief. When the average credit card interest rate is more than 16 percent, debt can accumulate quickly.
Average number of credit cards
Average credit card debt
Average credit score
Omaha’s median household income of $59,970 is very close to the national median, according to the U.S. Census Bureau. However, more than 16 percent of Omaha residents live in poverty compared to 10.8 percent of their fellow Nebraskans and 12.3 percent of people nationally.
This economic struggle hits home for Omaha residents. Debt consolidation is an alternative to bankruptcy if you’re unable to keep up with payments or the amount you owe is skyrocketing out of control because of interest.
The most common form of debt consolidation in Omaha is debt settlement, which allows you to make one payment into an account specifically created for debt settlement purposes. A debt settlement company will use the funds that accumulate in that account to negotiate with your creditors in an attempt to settle your debts for lower amounts than you owe.
Debt settlement is ideal for people in Omaha who have poor credit scores and more than $10,000 of unsecured debt from credit cards, medical and utility bills. Secured debt, such as mortgages, vehicle loans and other debt secured by collateral, is not eligible for debt settlement.
It typically takes two to four years to settle your debts. While debt settlement may initially lower your credit score, it will improve over time if you limit your credit use and avoid future debt. You can read more about settling credit card debt on the Federal Trade Commission website.
Debt consolidation is often preferable to declaring bankruptcy. Unlike bankruptcy, debt consolidation:
Remains private and is not public record
Usually does less damage to your credit score
Protects personal assets
If your debt is less than what debt consolidation companies in Omaha work with, you still have options to get your debt under control and set yourself up for a brighter financial future. Your options include transferring your balance to a credit card with zero percent interest, debt counseling or a debt consolidation loan that has a lower interest rate than your current debt.
National Debt Relief specializes in debt relief alternatives to bankruptcy. The company has settled more than $1 billion of debt and has an A+ rating with the Better Business Bureau. Omaha customers give National Debt Relief good reviews and say the company’s counselors make the process easy and care about their customers.
A proprietary electronic debt settlement system combined with expert debt consultants makes Credit Associates an effective choice for debt relief. Reviews say that customer service is helpful and communicates well throughout the process, which lasts between two and three years. You can get a free consult with no obligation by contacting the company.
Accredited Debt Relief offers multiple debt relief services by matching customers with debt relief companies in its network. Certified credit counselors are available to assist Omaha customers who are trying to get lower monthly payments or negotiate a debt settlement. Online reviews are overwhelmingly positive and mention attentive, knowledgeable and professional counselors.
Freedom Debt Relief has resolved more than $9 billion in debt for more than 615,000 clients since being founded in 2002. Omaha customers can work with a debt consultant over the phone or by online chat. The company provides a no-risk consultation and offers flexible payment options that allow you to determine payment amount and frequency.
Pacific Debt Relief has settled more than $200 million of debt since 2002 and has an A+ rating with the Better Business Bureau. The company helps its customers get out of debt and also offers education on learning how to live debt-free in the future. Omaha customers love the personable and responsive counselors.
An experienced debt relief company, Debt Rx helps those with $7,500 or more in credit card debt. Being smaller than its competitors allows the company to tailor solutions to your situation. Online reviews praise the customer service team for being good communicators while helping to reduce their debt.