Debt Relief Options
You Have More Options Than You Think
High-interest credit card debt doesn't have to be permanent. Here's a clear breakdown of the programs available to you — and what each one actually means for your finances.
Hardship Programs
Lower your payments directly with your creditor
Many credit card companies offer hardship programs for customers experiencing financial difficulty. These are formal arrangements between you and your creditor — no third party required.
How It Works
You contact your credit card issuer (or we do it on your behalf) and explain your financial hardship. The issuer reviews your account and may offer a temporary reduction in your interest rate, a lower minimum payment, a waiver of late fees, or a pause on interest accrual.
Best For
People who are current on payments but struggling to keep up, or who have recently experienced a job loss, medical emergency, or other financial hardship.
Typical Results
Payments reduced by 30–50%. Interest rates reduced to as low as 0% for the program period. Most programs last 12–60 months.
Things to Know
You will typically need to close or stop using the enrolled card. Missing a payment may cancel the program. Not all issuers offer hardship programs, and terms vary.
Interest Rate Reduction
Stop the interest from burying you
Interest is the reason most people can't get ahead on credit card debt. Even making consistent payments, a 24% APR can keep your balance growing faster than you can pay it down.
How It Works
Through negotiation with your creditors or enrollment in a debt management plan, your interest rates are reduced — sometimes dramatically. This means more of every payment goes toward your actual balance instead of interest charges.
Best For
People who are making payments consistently but watching their balance barely move due to high interest rates. Especially effective for those with multiple high-rate cards.
Typical Results
Interest rates reduced from an average of 22–28% down to 6–9% through a debt management plan, or as low as 0% through a hardship program.
Things to Know
Rate reductions through a debt management plan require working with a credit counseling agency. You'll make one consolidated payment to the agency, which distributes funds to your creditors.
Debt Consolidation
One payment, one rate, one clear path forward
If you're juggling multiple credit card balances with different due dates, minimum payments, and interest rates, consolidation brings everything together into a single manageable monthly payment.
How It Works
Your multiple credit card balances are combined into one account or payment plan. This can be done through a debt management plan, a personal consolidation loan, or a balance transfer. The goal is a single lower-rate payment that pays off your debt on a fixed timeline.
Best For
People with multiple credit cards who feel overwhelmed managing several accounts, or who want a structured, predictable payoff timeline.
Typical Results
A single monthly payment that is often lower than the combined minimums you were paying. A clear debt-free date — typically 36–60 months. Reduced total interest paid over the life of the debt.
Things to Know
Consolidation loans require a credit check and approval. Debt management plans do not require a loan. Balance transfers may have transfer fees and promotional rate expiration dates.
Which Option Is Right for You?
Every situation is different. Here's a quick guide to help you understand which direction might fit best.
| Factor | Hardship Programs | Rate Reduction | Consolidation |
|---|---|---|---|
| Current on payments | Ideal | Good fit | Good fit |
| Behind on payments | May still qualify | May still qualify | Depends on method |
| Multiple cards | Works per card | Works per card | Ideal |
| Credit check required | No | No | Sometimes |
| Affects credit score | Minimal | Minimal | Minimal to none |
| Typical timeline | 12–60 months | 36–60 months | 36–60 months |
Not Sure Which Option Fits Your Situation?
A specialist will review your specific debt, income, and goals — and tell you exactly which programs you qualify for. Free, no obligation.