Consumer Debt Consolidation

Consumer Debt Consolidation Needs High and Businesses are Jumping at it!

Consumer Debt Consolidation

Imagine receiving a bill where $7,429,933,004,818.29 is owed. That's a lot of money! This is not an arbitrary figure, though. According to the United States Treasury, as of November 4, 2004, this is how much money that Americans owe creditors. Is it any wonder then that consumer debt consolidation needs are higher today than ever?

And, with businesses being highly competitive, there are many companies who are aggressively pursing those with consumer debt consolidation needs.

How are businesses marketing to consumer debt consolidation needs? Turn the television and there are constantly advertisements that promise low interest rates and no closing costs for home equity loans. Go online and do a search for "consumer debt consolidation needs" and see what comes up. There are hundreds of online companies who offer their services to help eliminate consumer debt. Some of these offers (whether on television or the internet) are reputable and some are not. But, all of these businesses know the tremendous numbers of people with consumer debt consolidation needs and they will do almost whatever is necessary to fill that need.

Some credit card companies will even try to market to those with consumer debt consolidation needs. How? They offer 0% interest rates on balance transfers to their own card. "Move all of your high interest debts to one low interest card and reduce your debt!" is the popular claim. For those whose consumer debt consolidation needs are short term and are able to pay off their balance before the great interest rate goes back up to some extraordinary amount, this may be an effective way to reduce debt. But, for most, it is simply a continuation of a seemingly endless cycle of payment and debt.

Consumer debt consolidation needs continue to rise because the public continues to rely on credit to get from one paycheck to the next. Various studies show that the majority of Americans spend at least 10% over what they make a month, and the days of worrying about paying for things with cash are gone because of the apparent convenience of credit.

Until a blanket change is made in this kind of financial thinking and planning, businesses that cater to consumer debt consolidations needs will continue to highly visible and profitable.