The demerits of self help debt solutions.
In credit card debt counseling a third party is involved and some charge is imposed thus the debtor is obliged to attend without failing. In self help debt programs the debtor is alone. The discipline demanded sometimes is not there making the progress to be very slow hence the debtor can give up on the way. Self discipline is hard to come by in many of our life’s requirements. And without a control object it becomes harder; only less than forty percent pull through to the end.
The cutting of the budget is hard to achieve having in mind that other persons as the immediate family members are involved thus it causes so much friction. Restricting the budget or cutting on things the family was used to cause several hurdles in the marriage and could result to break ups especially if the people involved do not understand or are reluctant to accept the family’s predicament. Some would view it as the spouse involve in the program as being a miser or trying to hurt them for reasons they cannot understand. If the other parties involved are not receptive to the effort; the last result is in filing bankruptcy on credit cards to avoid breaking up the family or divorce.
Despite the programs being cheap other unexpected or hidden costs may arise due to lack of knowledge and experience in dealing with issues as credit card consolidation. This process requires the knowledge on interest rates and other charges associated with credit card consolidation. For the debtor is an amateur in the field he is prone to make wrong choices which could have been avoided by consulting the experts. Also the creditors may take advantage of him and give him bad deals.
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