Life in the Magnolia State is great, but Mississippi residents are often struggling to pay their personal loans or past student loan debt. Low wages and high prices make for a situation that often feels hopeless. An unexpected expense like a car repair or a medical emergency can easily upend already stretched loans and lead Mississippi residents to debt.

People in the coastal communities of Biloxi and Gulfport, the streets of Jackson, and the rural towns of the Delta often struggle with overwhelming debt. Whether caused by reduced work hours, past student loans, healthcare expenses, natural disasters, or personal circumstances, mounting debt can be stressful and cause uncertainty about one's financial future.

Financial hardship doesn't discriminate and can affect Mississippians from all walks of life and income levels. The good news is that you’re not alone! A trusted debt relief company like ClearOne can offer multiple debt solutions, so reach out to our professional credit specialists and get access to your settlement options today.

Financial stability is achievable and should reflect your personal circumstances, such as your income level, card debt per month, types of debt, and how you see your financial future. What serves well for a Jackson resident might not suit someone in Oxford or Tupelo. For all these reasons, you need a debt professional to help you get back on track.

So, let’s take a look at what debt relief in Mississippi looks like and how ClearOne can help Mississippi residents find the best debt relief solution.

Debt Management Plan

A debt management plan (DMP) coordinates bad credit with your creditors to create a plan that will allow you to pay off debt in Mississippi in a way that fits your personal finance situation.

Under the debt management program, you work with a credit counselor who negotiates with debt collectors to possibly reduce interest rates and create a structured payment schedule. Sometimes, the credit counseling agency can waive late fees and other average credit card penalties.

A DMP means you pay a debt amount every month, which is distributed to your creditors according to the new agreement. This approach often spans three to five years, during which you will make a single monthly payment to the agency. While this card debt relief helps make informed decisions and simplifies your debt management, it doesn't reduce your principal balance, and you will need to repay the full amount you owe.

Debt Counseling

Mississippi offers access to certified credit counseling services staffed by trained financial professionals. These counselors support Mississippians by helping them understand their personal finances and get a firm grasp on how much they earn, spend, and owe.

They deliver legal advice and card debt relief education and help people cut their expenses or find extra income to repay their debts. For example, they might suggest getting a second job, applying for a better job, or putting a bonus towards debt repayment.

Debt counseling serves as an educational resource rather than direct debt relief. These services help lay the groundwork for better financial management but may not help with immediate debt concerns.

Debt Consolidation

When you consolidate your debts, you apply for a loan and repay all your debts. You then repay that one loan. Debt consolidation rolls all debts, credit card debts, unsecured loans, and unpaid medical bills into your new loan.

The main benefit of debt consolidation is that you only have to make a single monthly payment. Also, in many cases, a debt consolidation loan has a more favorable interest rate, especially compared to credit cards.

To get better terms on your debt consolidation loan, you should have a good credit score and a steady income. While consolidation can streamline your monthly payments, it doesn't reduce your total debt: you still have to repay the full amount of money you owe.

Debt Settlement

If you have significant unsecured debt that can’t be repaid on your current income, you should consider debt settlement and turn to a debt settlement company.

With debt settlement, you can negotiate for a 25 to 50% reduction of your debt level, which is significant. The best way to achieve debt settlement is to work with a trusted debt settlement company like ClearOne. Our debt relief specialists will develop a debt plan and negotiate with your creditors.

Part of the process is for you to put money every month into a dedicated account over the course of the debt settlement process. During this time, we negotiate with your creditors to reduce your balances based on your income and debt level. Once your creditors have agreed to settle your debt, you pay the remaining amount of the debt with the money that has accrued in your dedicated savings account.

Most settlement programs are completed within 24-48 months, considerably faster than traditional management plans.

Though settlement impacts credit scores and stays on your credit history for 7 years, many find this acceptable given the significant debt reduction and shorter timeline to resolve their difficult financial situation.

Debt settlement is a viable debt relief solution for families and individuals in Mississippi for debt such as credit card debt, personal loans, and medical bills. A professional debt settlement advisor provides the best possible relief programs based on your debt level.

Bankruptcy

The choice of last resort is to file for bankruptcy. Although this has a significant impact on your credit score and credit history, it does offer a solution when debt levels are simply unmanageable.

Mississippi residents with severe consumer debt levels can file for Chapter 7 or Chapter 13 bankruptcy.

Chapter 7 bankruptcy, available to those who pass Mississippi's means test, eliminates eligible unsecured debts within 4-6 months through a liquidation process. You will be required to liquidate some of your assets to repay part of your debts, while the rest is forgiven.

Chapter 13 creates a structured 3-5-year repayment plan. You are allowed to keep your assets while you make the agreed payments.

Either option impacts your financial future. Bankruptcy remains on your credit report for 7-10 years, which can affect your employment opportunities. You also need to work with a bankruptcy attorney and pay their fees.

ClearOne for Debt Relief in Mississippi

There are many debt relief program solutions in Mississippi. While personal or business debt can feel overwhelming, it can be managed or reduced with the assistance of a debt relief specialist.

If you feel debt settlement is the best way forward for you and your family, ClearOne is a trusted, experienced debt settlement specialist in Mississippi. Our debt specialists can help you review your debt settlement, how it works, and if it fulfills your purposes. Then they will negotiate on your behalf to develop a debt relief option plan.

Financial hardship is part of everyone’s life, but it shouldn’t destroy the rest of your life. Once familiar with the debt relief programs available, you can make an informed and solid decision toward a debt free financial future.

Get your free consultation today and discover the debt relief options that match your financial status. We’re here to find a debt-relief solution that works for you!