Are you looking forward to a debt-free life in Arizona? If you're overburdened with multiple bills and tired of harassing collection calls, Arizona debt consolidation programs can help you get over the crisis and eliminate your debt problems.

How Arizona consolidation options work

Arizona debt consolidation options are usually available as consolidation or debt management programs and consolidation loans.

 Consolidation program

When you enroll in an Arizona debt consolidation program, a representative at the consolidation company negotiates on your behalf with your creditors or collection agencies. Negotiation helps lower your interest rates and reduce or eliminate late fees and penalty charges.

 Consolidation loan:

If you want to repay your bills with a single lump sum payment, a consolidation loan can serve your purpose better. But you need to have a good credit history in order to qualify for an Arizona consolidation loan.

With Arizona consolidation loans, you can:

  •  Repay bills with a big payment, but you need to pay off the loan as well.
  •  Eliminate the stress of having to pay bills with variable interest rates.

To learn more about the benefits, take a look at this page on unsecured consolidation loans.

State of Arizona (AZ)
map of Arizona state in USA

 Avg credit card debt: $5,438
Delinquency rate on (credit card): 1.68%

 Mortgage debt: $191,715
Delinquency rate on (Mortgage): 1.72%

 Auto loan debt: $19,967
Delinquency rate on (Auto loan): 1.25%

 Unsecured personal loan debt: $11,117
Delinquency rate on
(Unsecured personal loan): 3.82%

Payday loan laws >>

 
 

How to benefit from Arizona debt consolidation options

With Arizona consolidation programs, you get the following benefits:

  •   1. Pay off bills at negotiable rates: A consolidation program helps you to pay off your bills at negotiable interest rates to make your monthly payments easily manageable.
  •   2. Consolidated monthly payment: Arizona consolidation programs merge all your bills into one affordable payment. You send your payments to the consolidation company, which then divides it among your creditors. All you need is a budget that will allow you to make the payments in addition to your other expenses.
  •   3. Stop collection calls: Because you're paying down your bills, the collection agencies will stop their harassing calls. If the collection agency does call, the consolidation company will be there to help.

For further details on the benefits of Arizona debt consolidation programs, check out this page on the 8 benefits of consolidation.

Debt consolidation in Phoenix and Tucson

Consolidation programs in Phoenix and Tucson are the same as any other Arizona debt consolidation program. However, the fees required by a program will vary from one company to another. If you don't know about these programs and you aren't sure how to deal with creditors and collection agencies, check out these FAQ on Arizona consolidation.

 

Do Arizona consolidation options work for payday loans?

Debt consolidation options work for payday loans in Arizona. But before explaining how debt consolidation can help you merge payday loans, let’s know about the Arizona payday loan law first.
Payday loans (pdls) are illegal in Arizona. The law that allowed pdls in Arizona expired on June 30, 2010. All loans with an APR over 36% became invalid from July 1, 2010. However, the state law doesn’t prohibit short-term loans. Some lenders offer installment loans that are allowed by the state law.
Tribal lenders still offer payday loans to borrowers. But the catch is, tribal lenders are not legal in this country. So the loan agreements are not valid in the state. Unfortunately, most borrowers are unaware of this fact. Hence, they continue to borrow payday loans from tribal lenders and pay an astounding interest rate on the payday loans.
A few relevant questions may crop up in your mind at this point. For instance,

  •  Why do people pay such a high-interest rate?
  •  Do you need to pay off tribal payday loans in Arizona?
  •  Do Arizona consolidation options work for payday loans?

All the questions are valid. Let me answer them one-by-one.

Why do people pay such a high-interest rate?

People agree to pay such a high-interest rate on payday loans due to lack of knowledge about short-term loan alternatives. People need extra cash for various reasons and borrow payday loans at high-interests to cover their expenses. But hardly do they know that there are other short-term loan financing options. For example, personal loans and short-term loans from credit unions. Hence, they pay 400% or 500% APR on the payday loans.

Do you need to pay off tribal payday loans in Arizona?

Legally, tribal lenders can’t file a lawsuit against you. The loan agreement is not valid in Arizona. But tribal lenders won’t hesitate to threaten you. They can also take away a hefty amount from your bank account every month until the loan is paid.
Since you have taken out payday loans from tribal lenders, so it’s your moral responsibility to pay off the principal amount at least. Unfortunately, most borrowers can’t afford to pay off the principal amount due to various reasons.

Do Arizona consolidation options work for payday loans?

Arizona consolidation options work beautifully for payday loans. You can take out a payday consolidation loan to pay off your high-interest loan instantly. You can pay off the principal amount and get rid of the loan. Of course, tribal lenders won’t let you go easily. But at least, you can point out that payday loans are not legal in Arizona.
You can also opt for a payday loan consolidation program to repay the principal amount in small installments. Don’t worry about the interest rates. The consolidation company will take care of that issue.
If you don’t want to consolidate your payday loans, then you can opt for a settlement program. This would help to lower your payoff amount significantly.

 

Case study

Scenario Hi. There are several charge offs in my credit report. The report says that I'll have to dispute the information mentioned from the listing like the opening date of the account, the outstanding balance owed, etc. I stand a good chance to rectify any mistake on my credit report. I came across this phrase - “disputing the information within the listing means” - What does that even mean? With whom should I dispute the information? Is it the collection agency or the credit bureau? How do I improve my credit score with so many charge offs on credit report? I live in Phoenix, AZ.
Thanks,
Vendy
SolutionDisputing the information within the listing means - that you're allowed to dispute any information shown on your credit report with the respective credit bureau and have any item removed. For that, you'll have to send dispute letters to the credit bureaus. For instance, you can ask a credit bureau to remove a wrong item from your credit report using the letter format shown here: https://community.debtcc.com/letters/sample13.html
Initially, you'll have to contact the concerned credit bureau who's reporting such information on your credit report. Once you have a written response from that bureau, you can contact the collection agency or creditor who's reporting it to the credit bureau. Lastly, improving credit has to be your long-term goal, as it's a time-taking task. You can either work with a credit counseling company or follow some of the DIYs discussed here: https://community.debtcc.com/diy/credit-repair.html

How much
you can save
in Arizona

 

FAQ on Arizona debt consolidation

I haven't been able to pay off my credit card bills. This has ruined my credit score. What should I do? I'm in Arizona.
Ans: You can get help from an Arizona debt consolidation program where you can obtain low interest rates on your credit card bills, thereby making your repayment easier. Learn more...
I'm having problems paying off my payday loans. I think the lenders have already charged more than I should pay. Can anyone suggest a Tucson consolidation company that can get me out of this hell? Also, I'd like to know about pdl laws in Arizona.
Ans: There are several Tucson consolidation companies that deal with payday loan issues. You need to select the right one for you. To get the details on pdl laws, visit the US payday loan laws page and select your state name.
I've taken out too many credit cards and loans. It's getting tough to make payments. Can Phoenix consolidation companies get me out of this mess?
Ans: Yes, Phoenix consolidation companies can help you out of this crisis. These companies offer programs where you can consolidate your bills and repay them fast. Learn more...
My husband received a letter from Bass and Associates, Tucson. I'm not sure if they're a collection agency. How do we deal with them?
Ans: As far as I know, Bass and Associates is a collection agency located in Tuscon, AZ. The best way to deal with them is to ask them to validate the debt. If they validate the debt, you owe the money and you need to pay it off.

If you have other credit accounts, you can consolidate them into one low monthly payment. A Tucson consolidation company can negotiate with your creditors and help you to get low interest rates. Find out more...
A collection agency has recently threatened to sue me. They claim I owe money on an old account. I was wondering if I'd need a Tucson consolidation company to work out a deal with them and whether I should pay the bill if the SOL has expired?
Ans: If it's an old account and the SOL has expired, it is better to not pay on the debt. Otherwise, the Statute of Limitations may restart if you default again. Check out Arizona's SOL from the Statute of Limitations page.