Christian Debt Recovery

Debt Securities Examples

July 27th, 2007 |

Author: Gavin

debt securities examples

Can I Legally Reduce My Debt?

In a word, YES! You can legally reduce your unsecured debt balances and you can do so legally. But you need to know that there’s a difference between secured debt and unsecured debt.

Secured debt includes such things as you mortgage or your car payment. The items themselves are the security for the loan; the house is the security for your mortgage, the car is security for your car loan, etc. If you don’t make your payments on secured debts, your debtors can foreclose and take your house or your car. Secured debts can be refinanced but the balances of secured debts cannot be reduced.

Unsecured debt, however, is debt for which you haven’t mortgaged property to secure. Credit card debt, for example, is unsecured debt. Even if you bought a car and charged it to your credit card, the credit card company couldn’t take the car even if you didn’t pay for it. The car was not put up as collateral. The debt was unsecured. The balances of unsecured debts can be reduced.

If you find yourself in credit card debt up to your ears, you can negotiate with the credit card companies yourself. You can negotiate a lower interest rate and you can negotiate a pay-off balance that is far less than the balance on your credit card statement. Be aware that when you enter into these negotiations, your credit card will be cancelled. You can’t negotiate for a payoff amount and still use the credit card.

Another option is to get a credit counseling service to negotiate with the credit card companies on your behalf. It’s very possible that a credit card counseling service can secure a lower pay off balance for you than you can secure for yourself.

Yes, unsecured debt can be reduced and the sooner you get started on reducing that debt the sooner you’ll be debt free!

About the Author

June Johnson has a story of personal success against overwhelming financial odds–at times she didn’t know where she would sleep that night–and is now helping others to do the same. Follow her on Twitter (JuneJnsn), YouTube (MsReduceDebt) or ping her at http://reducedebtnow.net.

Modeling Structured Finance Cash Flows with Microsoft Excel: A Step-by-Step Guide.Book & CD-ROM

$42.35

A practical guide to building fully operational financial cash flow models for structured finance transactionsStructured finance and securitization deals are becoming more commonplace on Wall Street. Up until now, however, market participants have had to create their own models to analyze these deals, and new entrants have had to learn as they go. Modeling Structured Finance Cash Flows with Micros…

Bond Math: The Theory Behind the Formulas (Wiley Finance)

$35.29

A guide to the theory behind bond math formulasBond Math explores the ideas and assumptions behind commonly used statistics on risk and return for individual bonds and on fixed income portfolios. But this book is much more than a series of formulas and calculations; the emphasis is on how to think about and use bond math.Author Donald J. Smith, a professor at Boston University and an experienced e…