What you are about to read may make you reassess your attitude to zero interest balance transfer offers. I will show how these balance transfer offers are pushing more and more people into serious financial difficulties and I will suggest a few ideas on how you can manage your debt better.

Credit card debt is rising at an alarming rate and many people are now getting into serious financial difficulties. One of the reasons is the promotion of no interest balance transfer offers and interest free initial periods.

Like most people, I’ve been tempted by the these offers to change my credit cards. I’ve taken them up on their offer and moved my credit card debt and, for a limited time, had no interest to pay. But “just in case of an emergency” I usually hang onto my old card.

Then something happens, an unexpected bill, or a wedding or birthday gift I’ve forgotten about. “Never mind” I tell myself “I can put it on the old card – there’s plenty of credit on there so it’s no problem.”

A few months and a few unexpected bills later the interest free period runs out I have to pay interest on both my new card and the old card. Now I’m worse off than when I started but that’s no problem as I can look for another card offering another interest free period and zero interest balance transfers.

It’s so easy and the banks and credit card companies are so eager to lend the money that it becomes routine, until that is, something goes wrong. You could fall ill and be off work, or, you could lose some overtime and your wages fall, or maybe that big deal you were relying on falls through.

It may just be that the credit card companies decide you have too much outstanding on credit cards and you would have difficulty paying the repayments, or simply they spot that you are a regular churner of the debt and they don’t want your business.

Whatever the reason the result is that you have all the interest to pay and you start to struggle with the minimum payments and miss one or two. Because you’ve missed payments it becomes even more difficult to find the next interest free balance transfer offer.

Now you have a real problem but it is one that can be avoided.

I could suggest that you don’t use credit cards but I suspect that would not be acceptable, and I am not going to suggest you ignore the 0% offers – that would mean you paying interest when it is not needed.

The simplest way to benefit from these balance transfer offers, but keep your card debt under control, is to cut up your old card when you switch to a new one.

That way you benefit from the 0% offer but minimize your exposure to higher debt.

Once you have cut your card up though, it is essential that you contact the card issuer and close the account. Until you close the account the card issuer will continue to tempt you with special offers to use your old card.

Another tip is to never pay just the minimum payment. Always pay the maximum monthly payment you can afford. Reducing your payments simply pushes back the time when you have to repay and in the long term increases your payments. Use the interest free period to reduce your debt to the minimum and if possible clear the balance.

Credit card companies don’t offer an interest free balance transfer because they are feeling generous. They do it because, in the vast majority of cases, they will be able to charge you more in the longer term. Use interest free credit to benefit you not the credit card companies.

Unmanaged spending using credit cards are the number one root cause that drives most of people into credit card debt. If you are current in debt and thinking of having a debt free life in near future, you need to start to look into your debt seriously; steering clear of unwanted debt is a great way to manage your finances and relive the stress cause by debt. Here are some debt free steps which you can put in place as your New Year's plan:

1. Change Your Spending Behavior

You cannot become debt-free if you spend more than you earn. It's that simple! Financial stress relief is called "money in the bank" or "positive cash flow". You need to know where you money goes; this can be done by list down your regular and non-regular expenses. Think twice for any item which you plan to buy, ask yourself whether it is a need or an optional item.

2. Have Your Budget Plan

Make a budget plan for yourself and eliminate or at least reduce optional stuff such as entertainment, dinner at restaurant and luxury vacations. Plan your budget according to your financial capability and spend according to your budget. You will be able to achieve your debt free goal if you can plan for a positive cash flow, which means that you spend less that what your earn.

3. Pay Your Bills On Time, Every Time

Managing monthly bills is an essential part of staying debt free and maintaining a good credit rating. If you find this difficult, come up with a system to ensure that bills are not paid late. For your current credit card debt, you may get help from finance experts such as credit counseling or debt consolidation services; they are widely experience in help people in debt management.

4. Set Your Financial Goals For Long-Term and Short-Term

To change your spending behavior may be difficult, but if you set your financial goals, both for short- and long-term, it is easy to make the necessary spending cuts to get what you really want. So set your realistic financial goals for year 2007 and a few year down the road; and manage, control and cut unnecessary expenses so that your can achieve your financial goals.

5. Plan For Adequate Emergency Savings Fund

You never know what will happen tomorrow, there may be some emergencies which will need a lump sum of money instantly, such as medical bill due to major illness and accidents; money to cover to income shortages such as temporary loss of job. Three to six months' worth of bare-bones living expenses should shield you from most of these problems. Make the savings your habit.

6. Learn to Invest Your Money

Investing can make our money earn more money and keep you out of debt. Learn to invest with your money to grow it. There are many investment plans available in the market, range from insurance, to mutual fund, to stock market. Investment can make your grow your money; in contrary, it may cause you loss your money as well. Normally high gain investment will have higher risk than low profit investment. You need to understand your own risk profile and select the investment schema that meet your risk profile. You can start your learning by taking a class, find a referral to a great adviser or just start reading. Do it your way, but do it; and start now!

So, these are some tips for Your Debt Free Plan. Wish you have a Happy and "Debt Free" New Year.

There are 2 sides to the changes in bankruptcy rules.
It will be a lot harder to file bankruptcy under chapter 7 and get a totally clean slate.

For businesses, relying on issuing credit, the new personal bankruptcy law is doing great, reducing personal bankruptcy claims from the thousands to double digits.(In the short run).

However, lawyers working with the actual people filing for bankruptcy say that the new law is seriously flawed because it puts more financial burdens on already broke clients and reduces potential debt repayment to small businesses.

And then of course you have the credit card companies charging high interest rates which in quite a few cases caused the bankruptcy in the first place.
According to some financial specialists, much of the debt people accumulate is a result of keeping up with the Joneses and not thinking ahead.

For 80% of clients counseled each month, the debt is credit card related and averages $32,000 – a result of six to eight cards.
Consumer credit organizations say the new law provides debt-reducing strategies for those considering filing bankruptcy and curbs abuse.

Under the new law it has become a requirement that the person filing bankruptcy obtains credit counseling both before and after filing for which that person will be charged..

So now the consumer would then know the advantages and disadvantages of declaring bankruptcy. Yet it seems merely another expense for an already financially stressed individual.

People filing bankruptcy in general are not overspenders, but merely faced with temporary financial disasters such as medical costs, layoffs, a divorce, gambling debts or other crises.
Before you can file bankruptcy,you are now required to complete credit counseling with an agency approved by the U.S. Trustees office.

This credit counseling is designed to help you determine whether or not bankruptcy is appropriate.

Once you complete your bankruptcy, the law requires you to attend another credit counseling session.

These are new requirements, before this law was passed the law did not require a person to go through counseling either before or after the filing of bankruptcy.

Second, under the old law, a person could decide to file under Chapter 7 or Chapter 13. Under the new law, the court will look at your monthly income and apply a means test relating to the state in which you live. If your income is less than or equal to the medium income then you will be allowed to file Chapter 7 which in effect will give you a clean slate.

This medium income can vary from $28,000 in Missouri to $56,000 in Alaska.
If your income is greater, you may be forced to file Chapter 13 unless you can demonstrate you do not have enough disposable income.

Under Chapter 13 you will not get a clean slate but will have to make payments on your debts.

Also, your attorney now has to personally certify that your bankruptcy filing is accurate. This means more work for the attorney, with higher legal fees.

Advantages of declaring Bankruptcy:
Legal protection from creditors
Takes care of all or most debt
In some cases, can keep home and car
May stop complete financial ruin
Provides a fresh start

Disadvantages of declaring Bankruptcy:
Bad credit
May have to repay partial debt load and return collateral to creditors
May lose assets, including house and car (If the house is worth more than a certain amount).
Bankruptcy becomes public record, and
Remains on credit record for seven to 10 years

“In the past, a bankruptcy offered a fresh start for the filer,” said Columbia attorney Gwen Froeschner Hart. “The new federal legislation offers language directed at helping creditors.”

If you analyze credit card expenses for most people you’ll see that they often include medical bills and day-to-day expenses for the elderly or those earning low or fixed incomes.
Records show that 50% of credit card holders do not pay their full credit card bills every month.

33% of the population can’t afford medical insurance so have to charge their prescription drugs.
With the recent Medicaid cuts and rigid bankruptcy legislation who knows what is going to happen to these people.

There are some who say consumers are abusing creditors.
The irony is that credit card companies are begging for customers and offering large amounts of unsecured credit, yet at the same time, lobbying for stricter debt controls.

Many people want to know if they will be debt free after taking part in a debt relief program. This is a common question and concern. While it is important to note that individuals who successfully complete such programs will be able to overcome their current debt, it is also important to note that individuals may not be entirely debt free at the end of the program, as the enrolled individuals will often be allowed to continue to take out loans throughout the course of the program.

Individuals will only be as debt free as they allow themselves to become and many people will have to have some debt on their record. For many people, there is a common standard of living which requires loans. This may include a loan on a vehicle or a home. While there are a great many debt relief programs that are available within the United States of America, most of these programs do not take care of an individual’s secured debt. Some examples of secured debt include car loans, home loans and mortgages. As a result, many people will need to incur a car loan or a home loan in order to allow themselves a car or a home. Cars and homes are necessary for individuals to have jobs. Vehicles get them from their work and back, while homes allow individuals a place to rest and get ready for their work day.

Individuals also have the freedom to choose which types of debt and accounts that will be included in their debt relief program. This means that if they have three credit cards, and only choose to enroll two, they will still potentially have debt on the third by the end of their debt relief program. The program in which the individual is enrolled is not responsible for the money and debt that the individual chooses not to involve in their debt relief program. When an individual enrolls their credit card in a debt relief program, the account is closed. Since many people do not enjoy the thought of having no credit card options available to them, they will choose not to enroll one or more of their credit cards in order to leave those financial avenues open to them. Any debt that the individual constructs on these un-enrolled cards will still be there when the individual finishes up their debt relief program.

This does not mean that people cannot be debt free when they enroll in a debt relief program. For individuals who make it a priority, it is possible to be debt free by the time they complete their debt relief program. However, this requires that the individual not have any home loans or vehicle loans, which can be made possible by owning a home, renting a house or an apartment and owning their own vehicle. Since this can be difficult for some people, it is important for applicants to be realistic about how debt free they will be as a result of enrolling in a debt relief program. They need to examine their own situations and priorities in order to determine how debt free they may be able to become after graduating such a program.

Debt relief will affect an individual’s credit rating. It is important to note that the more debt an individual has, the lower their credit score is likely to be. While debt relief can negatively affect an individual’s credit rating in the short-term, it is important to note that a person’s credit rating would almost always be much lower by holding on to their debt than by using the resources available within debt relief programs.

By learning exactly how debt relief can affect a person’s credit rating, individuals can decide whether or not they think debt relief would be beneficial for them to investigate, and therefore to potentially utilize for their personal financial needs.

Debt relief is, in general, very subjective. As a result, it is very difficult to come up with individual numbers and specific cases that can be reviewed. However, by speaking with a debt relief representative, it is possible for individuals to know exactly how such a program would affect their lives. The conclusion will also depend on what a person’s credit score is at the time that they enter into their chosen debt relief program. Almost any financial assistance will affect a person’s credit score. Some of these assistance programs include Consumer Credit Counseling, declaring bankruptcy or taking part in debt reduction programs and services that are available. Most debt relief programs will be able to offer interested parties a free consultation in order to offer more information about how debt relief will affect them as individuals.

In time, it is likely that your credit score will improve, and this is primarily because debt relief will make your bills and debt more manageable. Not only can your payments be lowered with debt relief, but so too will your interest rates. With lowered bill payments, it is easier for most individuals to pay their bills on time. Thirty-five percent of a person’s credit score is related to whether or not that person pays their debts on time. When your bills are more manageable, you are more likely to pay them on time. This can improve your credit score the thirty-fiver percent that your score that is based on history.

Debt relief is pointless if you are not going to be able to meet the one main goal of debt relief, namely to manage debt by making it more affordable for you as an individual. Whether you are able to increase the amount of months that you have to pay off a bill or decrease the amount of interest that you are being required to pay on your debt owed, your main priority is still to make your debt more manageable. If you cannot get a grip on your finances as a result of debt relief you will just end up in the same situation that you presently find yourself in. If you choose to increase the number of months over which you will pay off your debt, it is important to remember that you will be paying more in the long run thanks to interest. Nonetheless, you need to weigh this against whether or not your current bill payment is affordable and manageable.

Watching your financial condition worsen, there will be many to offer you a word of advice along with their sympathy. The courses of action suggested will number as much as the number of sympathisers. This confuses the individual rather than offering recourse. In the following article, assertive arguments have been presented to show how debt consolidation, as a method of debt settlement, is the best available method in the UK. The methodology used by the loan providers to settle debts has also been explained in a detailed manner.

Debt consolidation is a credit agreement through which the borrower receives a loan for a fixed period or revolving credit in the form of flexible loan. Except for a credit arrangement that has been taken for the purchase of a particular item, the borrower can use any of the loans and mortgages available to consolidate debts. These include the following:

• Unsecured loan.
• Debt consolidation mortgage that involves taking an advance from the existing mortgage lender.
• Debt consolidation through remortgage that involves change of the mortgage lender.
• Debt consolidation loans.

When consolidating debts on account of loans and mortgages, debt consolidation will not be much advantageous. This is because the lender will surely repossess the item upon which the secured loan or mortgage had been secured. However, where unsecured loans form a majority of the debts, there is still a hope for rescue. A debt consolidation service provider plays an important role in this.

This does not undermine the role of the individual himself. The debtor can effectively counter the debts, provided he has time enough to expend on the debt consolidation process. This is where most borrowers lack. Thus, the task is passed on to the debt consolidation loan provider in the UK. Debt consolidation agency has the necessary expertise to deal with debt situations. Not only do these agencies help in the successful settlement of the debts, but also create savings for the debtor. More information on this function will be provided when we deal with the negotiation function of debt consolidation agencies.

Though the modus operandi of debt consolidation loan providers differs, it will have the following basic stages:
• Debt listing
• Creating a financial statement
• Deciding the amount of loan to be taken
• Negotiating settlement

Debt listing

Debt listing is the process by which the borrower lists down all the debts that he has incurred and that are remaining for fulfilment. Though a simple task, it attains dangerous proportions if not performed carefully. This is specially when all debts, whether big or small are not considered for settlement. Debts, which you would not have ever thought to become problematic, become so. The correct method of listing debts will be to note every debt on a particular date, the amount remaining unpaid on it, and the interest that it carries.

Creating a financial statement

The next stage is the creation of a financial statement. You would think what is the need for a financial statement when your finances are going in dumps. Preparation of a financial statement shows how much will a debtor be able to bear the burden of his debts. This is in sync with the principle that one must look into personal resources first before resorting to debt consolidation. If necessary, the services of an independent financial advisor be taken to compute the part of the income that can be pledged to debt settlement. The decision on the amount of loan or mortgage for debt consolidation thus hinges on the financial statement.

Decision on the amount of loan for debt consolidation

The proper measure of loan for the purpose of debt consolidation will be ascertained by deducting from the total debts, the value of help from personal resources. Borrowers however draw an amount larger than the debts so as to be used for other purposes like home improvements. Interest charged on debt consolidation loans is lesser. Cheap finance will be available through this method. Lenders do not restrict the use of debt consolidation loan for purposes other than debt consolidation. Debt consolidation agencies can further decrease the amount needed for settlement by negotiating the payments thus.

Negotiation of settlement

Proper negotiation on the part of the debt settlement agency is their USP (unique selling point). Borrower could have easily repaid the debts unpaid to the creditors. He engages the services of the debt consolidation agency because they can negotiate the payments well. Tactics like luring, compelling, etc are employed to bring down the repayable bill. Negotiation is a skill, and skill sets differ. So, when choosing a particular agency for debt consolidation loan, make a proper study of what the debt settlement agency can do for you. Consult with friends and relatives before making the lender choice. This function makes debt consolidation loans distinct from the other loans and mortgages available for the purpose. Only this method allows the borrower to gain from the expertise of the loan provider.

You would have been convinced by now that debt consolidation results into maximum benefits and the least of drawbacks.

You went to college, and you have your degree. And now that you have a job, you are making your own money, which means you have your own bills to pay. College probably wasn’t free, and it certainly wasn’t cheap. You probably had to take out several student loans in order to pay for your tuition, books, even your living expenses. So now that you have graduated, you are faced with the prospect of paying back several loans at a time. This can be quite overwhelming. It can be difficult to keep track of several different monthly loan payments with different interest rates. That is why student loan debt consolidation is a good thing to consider.

When you consolidate your student loans, you are combining them into one loan. This has many benefits for you, including only 1 monthly payment rather than several to keep track of, and one low interest rate for the entire amount. Also, you can take longer to pay back the loan, which will help keep your monthly payments lower. In the long run, you will save money by choosing student loan debt consolidation, because you won’t be paying several varying interest rates on several loans.

Another huge advantage of student loan debt consolidation is that it is beneficial to your credit rating. If you have several loan payments to keep track of and pay per month, the chances of you missing a payment are much higher than if you have just one loan payment to pay monthly. And missing student loan payments is nothing to mess around with. If you get behind on your loan payments, you run the risk of having property and possessions revoked, and your credit rating will be damaged for a very long time. Therefore, if you are someone who might not be able to keep track of several student loans at a time, you should consider student loan debt consolidation!

Going through the student loan debt consolidation process is not difficult, and takes very little time on your part. There are many reputable lenders (especially on the Internet) that will help you through the process, either online or over the phone. Once you choose a consolidation company to handle your loans, the process usually doesn’t take any longer than 45 days (you should continue to pay your loan payments until the consolidation is final). How a student loan debt consolidation works is the consolidation company pays the balance on all of your existing student loans, and then lumps the entire balance of them into one loan. Then an interest rate is determined. Usually, this is based on an average of the interest rates for your previous student loans. The advantage, though, is that once an interest rate is locked in, the rate remains unchanged until the balance is paid off. With unconsolidated loans, the interest rate is subject to rise ever July.

Student loan debt consolidation seems like an ideal way to pay back your student loans in a manageable and responsible way. You only have to deal with one lender, you only have to deal with one low interest rate, and you only have to deal with one monthly payment. And, you will save money in the long run, because you are not paying the extra amounts in interest that you would be paying if you did not consolidate. In addition, your credit rating will remain at a good level, which you allow you to make major purchases at lower interest rates throughout your life.

It’s been widely reported that as a nation we’re collectively in debt to a higher level than ever before, and many more people are starting to experience problems keeping their finances together. The level of personal insolvencies and bankruptcies is skyrocketing, and banks are having to put aside ever increasing amounts of money to cover bad debts that their customers are failing to repay.

Many financial experts are predicting a debt crisis in the near future, and there’s talk of a severe impact to the economy as the chickens come home to roost. How did we get into this situation? Why are our debts so high?

- Easy Credit

We’re constantly bombarded with advertising and marketing telling us how easy it could be to take out credit, and how much doing so could change our lives for the better. Competition between lenders has meant that many of them have relaxed their lending criteria, accepting applications that they may have rejected in previous times. Combine these two facts and it’s little surprise that the number of people taking out loans has increased dramatically.

- Cheap Credit

Interest rates are, historically speaking, at very low levels. This means that we pay less in repayments on our debt, making it easier to borrow larger amounts. While interest rates remain low this is perhaps not a problem, but rates will inevitably rise at some point, which could be very bad news indeed for those already stretched to the limit.

- High House Prices

The last decade or so has seen a mammoth surge in the cost of housing, with prices spiralling upwards year after year. This has led to increased debt in two distinct ways. Firstly, people buying their first home are having to take out huge mortgages to be able to afford them. Where once it was normal to save up a deposit, even this isn’t realistic for many people, and so 100% mortgages for large amounts have become more common.

Not only do high prices mean higher mortgage debt, they also give a feeling of increased wealthiness to people whose properties have doubled or tripled in value. Many people who bought houses before the property boom are now fortunate to have huge amounts of equity in their home, as their outstanding mortgage is much smaller than the value of their home. ‘Cashing in’ this equity by taking out a loan secured on their home is a seemingly easy way of obtaining extra cash to be used for a variety of purposes from consolidation to home improvements, and has become more and more popular as our collective equity has increased.

- Attitude to Debt

Society as a whole is now a lot more open to the idea of debt. Where once being in hock was anathema to most, it is now an ordinary part of life. Whether this is a cause of debt or a result of our new-found dependence on it is, however, open to question. What’s certain is that more and more people are starting to question whether their personal debt levels are supportable, a trend that’s likely to grow in the next few years.

There are a number of benefits that would come from utilizing debt relief and their associated programs. These benefits can be broken up into a number of different fields. There are psychological, fiscal, educational and long-term benefits that can be had by enlisting the help of a debt relief program.

Psychologically, individuals can be under an incredible amount of stress when they are in debt. The more indebted a person is, the more stress they are likely to experience. Paying high amounts of money of money each month can be very frustrating. Individuals are typically working in order to pay off their debt, but it seems like they are never getting any closer to financial freedom. Many people panic over such situations, and panic is often not physically or psychologically healthy. Panic does nothing to alleviate the stress of the situation, but some people do not know what else to do. By considering a debt relief program, individuals can have a blueprint for what they will need to do in order to get out of debt. Even better, most people can be out of debt in three to six years, rather than in the twenty years it might take them to become debt free without the aid of a debt relief program.

Many people will also notice that they can save money by using a debt relief program to help them limit or consolidate their debt. In these instances, program representatives are able to negotiate with many of the credit companies in order to lower a person’s monthly payments. On top of this, the interest rate of a person can be lowered as well, limiting the amount of money that a person will be required to pay just for borrowing the money that they are now indebted.

Most programs do not just offer individuals money to pay back their loans or lowered monthly payments. In most cases, individuals have to prove that they are committed to becoming debt free. Many programs require that approved applicants take part in a consumer credit education program. For the most part, companies offer their own consumer credit education program to approved applicants. From these lessons, individuals can learn how they came to be indebted and, more importantly, how they can stay out of debt once their current accounts are taken care of.

In the long term, there are a number of things that individuals can benefit from by taking part in a debt relief program. Most notable, it is important for individuals to understand that their credit will show a vast improvement after they successfully complete the program. This will aid them later on in life. With higher credit scores come potentially lower interest rates and/or higher loan amounts. This can help people to save money later on in their lives as well. More than that, individuals can go on in their life and have an educational background on how to keep their debt manageable. While there are a number of situations that require loans, such as purchasing a home or a vehicle, debt relief education programs can help people gain the peace of mind and knowledge to keep their debt under control.

The primary reason to consolidate debt is to make your monthly payments smaller. When financial institutions, like credit unions and banks, offer consolidated loans, what they are offering to do is pay off in full all of a consumer’s loans (credit cards, car loans, hospital bills, student loans, etc.) and lump the entire debt into one single “consolidated” loan that generally has a fixed interest rate that is much lower than the cumulative finance charges of all the smaller loans.

So if your monthly payments are getting out of control, if you’ve got decades left of payments ahead of you, and if there’s an attractively lower, fixed interest rate you find yourself eligible for, a consolidated loan may be just the thing for you. But it may not be. Read on:

While a consolidated loan offers you smaller monthly payments, you’re typically agreeing to years, possibly decades, more of debt. This is how such low interest rates are even able to be offered in these consolidated packages. Do you want to be paying off this debt for 20 more years? How about 30?

And don’t forget: when you consolidate debt, you end up paying more in interest for having stretched your payment period out an extra decade or more.

Is it really worth it to commit to all those finance charges just to have a bit of extra cash month to month, especially if the terms of your loans are almost up? It might be.

A common way many homeowners consolidate their debt is by borrowing against the equity in their homes. This type of consolidated plan, while convenient, is not without its inherent risks. Currently, your debt is unsecured, but if you consolidate it all under a home equity consolidated loan, it becomes secure debt. If you default on this new, consolidated loan, you have much more to lose.

At least under your current loans you wouldn’t, for example, lose the education you received thanks to all that financial aid you got, should you be unable to pay it off. With a home equity consolidated loan, lenders won’t hesitate to seize your home if you don’t pay.

You have probably seen and heard many of those consolidated loan ads appealing to the hand-to-mouth set with abominable credit scores. If you’ve always thought there was a catch to these consolidated loan package promotions, you were absolutely right. The initial application fees for these types of consolidated loans are tremendous, and it is entirely possible you will never see the consolidated loan promised you.

But not all consolidated loans fit these scenarios. You may still be the perfect candidate for a consolidated loan, and there are many legitimate consolidated loan companies out there to help you consolidate right. If you do decide to pursue applying for a consolidated loan, you may wanted to get started as soon as you can. Congress and the President both are tossing around ideas for possible legislation either curtailing or eliminating such consolidated loan packages.

But if you can’t or don’t want to consolidate your loans just yet, you do have other options, not necessarily for lowering your monthly payments, but if nothing else for helping you stay on a path to good credit. Most lenders will now assist you in setting up automatic payments from your checking account. You still have to make sure the money is there to be withdrawn, but the chances are certainly greater that you will make your payments on time and get that much closer to being debt-free.