Looking at it from the contrasting views of the pros and the cons, there are many things people need to know about military debt consolidation. In this article, we will take a balanced look at some of the points you will need to consider.
The pros maintain that it is a good way to learn how to discipline one’s self in the matter of paying off loan obligations. Because this will be the last chance people have before being forced to declare bankruptcy, people will usually exert all the effort, that they probably never made in the past, to work out a rational way of paying off their debts and to stick to that payment program.
The pros also maintain that MDC saves them the time and effort of planning out and scheduling payment for their many loans. The fact that all qualified loans are lumped together as one is a convenience they get with debt consolidation.
The pros also like the way that there is considerable interest reduction in debt consolidation programs. Consequently, the amounts payable are also lessened. Add to that the fact that the period of payment may also be reduced, they are able to save a considerable sum of money.
The cons say that military debt consolidation or any other type of debt consolidation will reflect badly on one’s credit standing for something like 7 years.
The cons say that to exert effort and resolution to pay off one’s indebtedness on one’s own is a far better way to settle obligations and preserve a good credit status.
The cons say that military debt consolidation is not really helpful because agencies may require the person applying for the loan to risk whatever assets he has left to secure the loan. It is not really just a loan assistance program, it is actually a new loan.
The cons say that the fees paid for the services of the consolidation agency may be exorbitant and one would need to do research first before deciding on which agency to work with.