Week 7 Day 7

Total Earnings to date:  $ 471.23

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My visit this week was with a firm called New Beginning. They are a Debt Solution firm in which a person that has a lot of credit card debt and is delinquent, can go for help. They work with another firm and negotiate with the Banks to lower  debt amount. They tell me that  they usually can cut it in half. They put clients on a monthly pay schedule to a bank which combines all  debt and  fees.

The company advertises and works mostly over the telephone. They have about 15 employees that handle the incoming calls. As a two year old company, they handle over 10 million dollars of debt a month.

Yes the firm is very profitable (they charge 18% of the original debt as their fee) there is no up front fee and they are paid as the overall debt is paid off. My concern is the possibility that the debt forgiveness can cause a tax on the amount that is forgiven.

In any economy that is an opportunity to make money. This is an interesting concept, but I am not personally sure that this is the best solution for those struggling with high credit card balances. Have to study the issue further.

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Each of us is born with the inherent impulse, a creative center, which, when cultivated through deisciplined learning and practice, can produce works in the world that defy the imagination.

Another of my favorite  definitions:  GUTS =  GOD’S UNDENIABLE TERRIFIC SECRET

Have a great day!