Debt Consolidation: Nashville Residents Have Options AvailableAugust 3, 2022
Arguably no U.S. city is as closely tied to music as Nashville, Tennessee. The capital city of 660,393 in northern-middle Tennessee is a popular destination for its vibrant live music scene. But it’s also the biggest metro region in Tennessee with 1.9 million people—and it’s growing, ranking seventh among U.S. cities in a variety of population-growth metrics!
And more than honky-tonk bars is fueling the population boom. Nashville enjoys thriving industries in healthcare, publishing, banking, transportation, higher education, and with it being Tennessee’s capital—government.
Such economic diversification contributes to Nashville’s median household income of $54,310, nearly $6,000 higher than the state median. And while the city’s overall cost of living index (90) is well under the U.S. average of 100, median gross rent ($979) and median home value ($240,373) make it difficult to get ahead with high-interest balances eating into a budget from all angles.
Looking to leave your debt behind and start fresh in Music City, U.S.A.? Take a look at these debt-assistance possibilities.
Nashville Debt Consolidation and Relief Strategies Worth Evaluating
Nashvillians have an exciting, evolving city at their fingertips, but debt hanging in the balance entraps us in fear, anxiety and stress. One of these routes could be the emotional relief you’ve needed.
If your credit is still in decent shape, a debt consolidation loan allows you to pay off your various balances and only maintain one payment, ideally with a lower interest rate than you were paying across your previous accounts. Be sure to only look for offers from lenders with whom you’re not already doing business if you want to get the best terms on your offers.
Another effective Nashville debt consolidation tactic (if your credit is still OK, that is) is to get a balance transfer card. Balance transfer cards offer debtors a period of low- or zero-interest terms. However, these cards carry a three-to-five percent fee to transfer your balances. So, for example, one card might offer 12 months no-interest but charge you four percent of the overall balance you’re transferring across your accounts. Do the math to make sure the transfer fee is cost-effective compared to the interest-friendly introductory period.
Cash-Out Refi or Home Equity
Nashville’s median home value of $240,373, up from $111,800 in 2000, is great news for anyone (but especially debtors) with equity in their homes. A cash-out refinance will replace your existing mortgage with a new one (i.e., new interest rate, repayment schedule and loan length) but provides the necessary cash to pay back high-interest balances at once. Or you can take out a home equity loan, which basically acts as second mortgage on your home.
If you’ve already lapsed on payments and your credit score has suffered as a result, the consolidation methods above won’t work for you. At this stage, three options exist: ask friends/family for financial help, declare bankruptcy, or seek debt resolution (a.k.a. debt settlement).
Request a free debt evaluation to find out how we could help you:
- Resolve your debt faster
- Significantly reduce what you owe
- Make one low monthly program payment
Debt settlement allows debtors to reduce their balances by large percentages, usually through the help of a debt settlement company with experience negotiating with creditors. In a debt-settlement scenario, you’d contribute monthly payments into an account. When your savings and negotiation point between the settlement company and creditor align, you can agree to resolve your debt for the lower amount. Debt settlement carries a service fee, usually based on the percentage of debt that’s resolved.
Living Debt-Free in Nashville
There’s an abundance of opportunity in Nashville. Local government, public schools, and Vanderbilt University combine to make up over 43,000 jobs. State and Federal positions make up another 30,000 jobs. Other significant employers include the Hospital Corporation of America (7,000 jobs), Saint Thomas Health (7,100 jobs) and Nissan’s North America headquarters (10,900 job).
Job abundancy or not, holding steady work isn’t always enough to make headway on high-interest debt, especially when it’s divided into several balances. Settling down in a city like Nashville should feel good. But it’s hard to feel anything other than turmoil when you’re dealing with debt.