Debt Consolidation: Philadelphia Residents Have Options Available

Shaped largely by the Revolutionary War, Philadelphia is an big old city built on firsts. Initial monumental breakthroughs came with the signing of the Declaration of Independence. Then the Constitution a decade later. While the White House was being built, Philly served as the nation’s first (albeit, temporary) capital. So perhaps it shouldn’t be a surprise that the first library, medical school, stock exchange, business school and zoo—all first came about in what we now endearingly refer to as the City of Brotherly Love.

Today, Philadelphia’s 1.56-plus million population is the sixth-highest among U.S. cities and is the biggest in Pennsylvania. Vital economic areas span higher education and manufacturing to tourism (67 National Historic Landmarks) and health care.

However, the median household income of $41,449 compared to median gross rent of $976 suggests many households may be barely getting by. Per MarketWatch, Philadelphia ranked eleventh among U.S. cities in credit card debt.

If you’re dealing with revolving debt you just can’t seem to beat in Philadelphia, learn about these debt consolidation options — or give Freedom Debt Relief a call at 800-910-0065 .

Debt Relief Solutions Worth Considering

Philadelphians deserve better than to live with debt dictating their every decision. Consider consolidating or reducing your deficit with one of these strategies.

Debt Consolidation

Dealing with a lot of debt is one thing, but when that overall sum is made up of several balances among different creditors with varying interest rates, the prospect of getting out of debt can feel hopeless. Philadelphia debt consolidation strategies, like a balance transfer, personal loan, or leveraging your existing mortgage, could help you climb out of the hole. Let’s discuss these options briefly below:

Balance Transfer

A balance transfer rolls multiple balances into one credit card with a low- or zero-interest introductory period. Balance transfers carry a fee (usually three-to-five percent) but offer introductory periods ranging from six-to-18 months, allowing debtors to simplify their repayments and allocate more money toward their principal balance.

Personal Loan

Also called a debt consolidation loan, a personal loan helps pay off all your credit balances to maintain only one repayment, ideally with a lower interest rate than you were collectively paying. However, unsecured personal loans can have interest rates ranging from five percent to as high as 36 percent! Explore personal loan offers from institutions you’re not already engaged with to get the best terms on your offers.

Home Equity Loan/ Cash-Out Refinance

The median home price in Philadelphia is $195,207. If you have a good portion of equity in your home, that could help you get out of debt. Your options are either a home equity loan, which entails a second mortgage, (often at a fixed rate and for up to 30 years) or a cash-out refinance deal, which pays off your original mortgage and creates a new, larger mortgage with completely new terms.

Cash-out refinances usually have closing costs and fees, but if you can negotiate favorable new terms (interest rates, repayment schedule, etc.) and have enough equity to wipe out your balances, paying the fees might make financial sense.

Debt Resolution

A damaged credit score and a pile of collection mail might feel like a hopeless place. But debt settlement providers could still make a difference. Debt settlement allows debtors to resolve substantial percentages off their balances and get back on their feet.

Freedom Debt Relief has successfully resolved thousands of debtors’ balances over the years through tailored debt-assistance plans and careful creditor negotiations. Debt settlement carries a fee (if you agree to pay the reduced debt sum) and takes anywhere from two-to-four years to resolve. It’ll also hurt credit scores in the rare case that the debtor seeking settlement doesn’t already have a badly damaged credit score.

credit counseling vs 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

Ridding Debt in Philadelphia

Five fortune 1000 companies, such as Comcast and Urban Outfitters, operate out of Philadelphia and aside from its developed economic sectors, is becoming a thriving biotechnology hub. What’s more, the Port of Philadelphia enjoyed the highest percentage growth by tonnage among major U.S. seaports in 2017.

However, per Census data, of the 30% of the city’s poor aged 16 and older who worked in 2016, only one in five had full-time jobs year round. Over 60% of the city’s working-age poor weren’t employed nor looking for a job — the highest rate among both the nation’s top-10 most populous and poorest cities. Dealing with debt is hard enough without gainful, steady income. But when late payments, creditor calls and the overwhelming weight of dead are on our shoulders, it’s difficult to see the light and make necessary life changes.

Put your trust in an experienced debt relief company so you can focus on improving the other essential aspects of your life. Learn more about the debt consolidation and debt solutions Freedom Debt Relief offers, or call 800-910-0065 if you’d like to speak with a live debt relief specialist over the phone today about personalized options.