Dvorkin On Debt

By: Alisa Wolfson | Source: MarketWatch

“I’ve had clients who drive for miles to find the cheapest gas, but they don’t put in the same effort to find an affordable mortgage. The reason is simple, homebuying is complicated and it’s easy to get overwhelmed to the point that you simply rely on your bank for a mortgage,” s

By: Katie Kelton | Source: Yahoo Finance

“Your biggest challenge has nothing to do with your body or your mind,” says Howard Dvorkin, chairman of Debt.com, who advises people with disabilities about applying for credit. “It has everything to do with your income and your debts. Lenders only care if you can pay back what they give you.”

By: Mike Senecal | Source: BadCredit.org

“We get a good sample, dig through it, and ask questions,” Dvorkin said. “It’s clear that America’s ongoing love affair with debt has evolved.”

By: Holly Johnson | Source: Business Insider

The thing is, debt consolidation doesn’t always work, and for more reasons than one. According to Howard Dvorkin of Debt.com, “all it takes is human nature” for the best-laid debt payoff plan to fall apart.

By: Tim Maxwell | Source: Money Watch – CBS News

“You consolidate your debts through a nonprofit credit counseling agency,” says Dvorkin. “You get a free in-depth debt analysis from a trained credit counselor, and you make one monthly payment that covers the principle and drastically reduces interest rates on all your cards. It costs money to have those counselors working with you, but the fee dwarfs the savings.”

By: Casey Bond and Dawn Papandrea

“One big advantage is that secured cards are relatively easy to get. Another is that parents can be assured their children aren’t overspending,” says Dvorkin. “Otherwise, it’s like learning how to be a trapeze artist without a net.”

By: KIPLINGER ADVISOR COLLECTIVE | Source: Kiplinger

“Don’t blend everything. To keep a healthy marriage, keep some money for yourself. If your partner craves the latest iPhone and you collect rare comic books, you don’t need to fight. Instead, budget for both. Agree on how much ‘fun money’ you two will set aside, whether it’s a percentage of salary or a dollar figure. That won’t stop each of you from being judgy, but it will stop you from arguing.”

By: Katie Teague | Source: CNET

“Credit card companies make more money when the minimum payment is lower, so more money goes towards the interest rate and less towards the principal,”

By: Yael Bizouati-Kennedy | Source: Go Banking Rates

“Don’t apply for them,” he said. “The interest rates are scandalous — up to 30%. That’s understandable, because the card issuers are taking a risk. But you’ll be better off doing something much more modest: Getting a secured credit card.”

By: Aly Yale | Source: CBS News MoneyWatch

“A debt consolidation loan works best if your debts are stubborn but reasonable,” says Howard Dvorkin, chairman of Debt.com. “That’s because you need a strong credit score and history to secure a low interest rate. Otherwise, what’s the point?” “The downside is that it can take a few years to see results,” he says.

By: KIPLINGER ADVISOR COLLECTIVE | Source: Kiplinger

“Many Americans are carrying balances on high-interest credit cards. This harmful money mindset can lead to long-term financial struggles. When individuals consistently carry balances, they accrue high-interest debt, making it harder to achieve financial stability. This not only drains resources but also perpetuates a cycle of dependency on credit, hindering savings and investments for the future.”

By: Kate Underwood | Source: Consumer Affairs

“if you don’t address your debts, your credit score will plummet even faster and longer.” If you proceed with debt settlement, the debt will appear on your credit report as settled. It’s possible you could negotiate with the creditor to list it as “paid in full” instead of simply settled, which would improve your optics when future lenders view your credit report. “Taking a temporary hit to get out of debt is always better than slowly sinking into oblivion.” If you’re already in a risky financial situation, seek out the least damaging solution that helps you get back on the right track.