Full attitude with the initiative to continue to look for ways to get debt free quickly needs to be owned, especially for those of you who have outstanding debt. The number of roads to Rome need to be balanced with precision so that you are freed faster, and instead fall into deeper debt problems.
Some options can be made to be free from debt, for example with minimum payment or following a debt management program from a trusted company. There is no need to explain anymore, the minimum payment option is certainly not the best way to get rid of debt. Even if you pay the minimum payment you can still be protected from BI’s blacklist and gradually repay the debt, in fact this step will not make you walk anywhere. Debt that must be paid can be very large, and only burden yourself.
Debt management programs can also be the right step. There are several types of debt management programs that can help you to be free of debt:
1x discount discount pay
As the name suggests, this program allows you to get discounts ranging from 20% to a maximum of 70% (only in certain cases). To take part in this program, customers must have readiness for funds because they must immediately pay the remaining debts that have been discounted. The advantage is that you no longer need to struggle with debt problems, after completing the settlement. You also do not need to worry about the additional flowers that continue to run if the remaining arrears still exist.
Reschedule / Low-interest Installments with Extended Tenors
For this program, usually customers can get relief by installments in installments. Of course if you talk about installments, you will be faced with the loan interest again. Take it easy, usually this interest is much lower than the interest in general. You can get less than usual flowering, which is 0-1%. Of course this will greatly relieve you, right? Tenor in this program can usually be up to 60 months (5 years), depending on the results of the agreement.
This program is a combined type between the two options above. It’s just that, there are several provisions in it. Of course this type of joint program is not necessarily available in all banks, besides that usually the bank will also look at the customer’s condition first to actually give this program to you. The discount obtained in a discount program may indeed be able to touch 50-70% in certain cases, only in this program you may only get around 20-30%. In addition, if on a low-interest installment program with an extended tenor you can get a tenor of up to 60 months, in a joint program you can only get installments of 5-6 times.
Of the three choices above, of course the discount discount that is the fastest helps you to be free of debt. However, unfortunately not everyone has the financial readiness to join the program. This funding readiness obstacle can actually be overcome by following a refinancing program. What is refinancing and how do you do it? For more details, let’s look at the explanation below.
What Is Refinancing ?
Refinancing is a step to use a new loan to pay off old debt, only this new loan has provisions that are more mitigating than the old debt, for example lower interest rates. So, simply is that you can get rid of debt faster by applying for a new loan. Maybe this sounds implausible, because it’s only digging a new hole to cover the old debt. In fact, if you can take advantage of a new loan more carefully, this step can help you to resolve debt problems faster and save more at the same time.
Usually in applying for a refinancing program, a collateral will be needed (it can be a property / vehicle). Later the assets of the house / car that you submitted will be estimated, this is where you can get a new loan. So, the cash you get can be directly used to pay the remaining old arrears. In the meantime, you also have to pay off the loan until it is paid off. No need to be afraid, because usually the interest offered is also quite low.
Simulation Example How to Use Refinancing
Budi has a credit card debt arrears of IDR 30,000,000, and must pay a minimum payment of IDR 3,000,000 per month. Budi has a monthly income of IDR 5,000,000, and after being allocated to pay rent and other expenses, Budi has the remaining Rp1,000,000 to pay his credit card bills. Currently, Budi has been late making payments for the past 3 months, and is starting to be haunted by debt collectors.
Of course, even though Budi has the opportunity to pay a minimum payment of IDR 3,000,000 per month, this will not make him faster free of debt. Not to mention, Budi also must avoid using credit cards so that the total debt does not soar, while it will pay off with minimum payment. However, if Budi does choose this option, Budi will only be able to be free of debt after making payments for 4 years and 4 months. In addition, the total payment that must be made is IDR 38,300,000 (principal amount of IDR 30,000,000 and interest of IDR 8,300,000).
Budi finally followed Mr.’s debt management program Rochester, and Mr. team Rochester managed to get a discount discount program to relieve the remaining debt that is still owned by Budi. Based on these results, Mr. Rochester succeeded in reducing Budi’s debt to IDR 20,000,000 to pay off all arrears. Of course the nominal must be completed in just 1x payment and Budi no longer needs to pay additional interest. Only in 1x payment, Budi can be immediately free from debt bondage.
Then, Budi proposed a new loan (refinancing) with a 24x installment of Rp940,000, – meaning he needed 24 months for a total of Rp22,600,000, – to be free from all arrears (saving Rp7,400,000, – from the total debt of Rp30,000,000 , – which must be repaid to the bank).
You can see that it turns out that using a new loan to pay off debts that are still running can help you to be free of debt and save more. In that case, it means that Budi repaid all the remaining arrears to the bank in 1x, without the need to fear being pursued by a debt collector, and just to settle the remaining installments to the financial institution that provides a refinancing program with a lower interest rate. In Budi’s case, taking a discount program with discount discounts coupled with refinancing could make him save more than IDR 15,000,000.
How to get Refinancing
When applying for a refinancing program , of course you cannot arbitrarily choose a financial institution. This wrong step can lead to additional nightmares, which will make it difficult for you to pay off all the remaining outstanding arrears. To overcome this, you can rely on references from companies that provide debt management programs, because these companies usually have the best strategies that can help you free from debt, along with recommendations from trusted financial institutions, which can help you in getting the best refinancing program and help free from debt.
To get the best refinancing program that is of course accompanied by a debt management program, in order to help you be free of debt, you can use professional services from a debt management company. One of them is Mr. Rochester.
Mr. Rochester international is the first technology-based professional services company in Indonesia, which provides a debt management program. This program is designed so that consumers who are in debt, have the ability to control their finances again. Mr. Rochester Indonesia helps clients through debt management programs, specifically designed to suit different needs for each client. This program is a combination of education on various opportunities to increase income and reduce expenditure, as well as conduct negotiation processes on existing bank debt requirements to reach the amount of payment that is in accordance with the ability. Mr. Headquarters Rochester Indonesia was established in Jakarta in 2015 by a founding team that has collective experience in the financial sector including debt settlement for more than two decades. Mr. Rochester has made Indonesia as the center of operations as well as a blueprint for the company’s development plan to other ASEAN countries. Since July 2016, Mr. Rochester Indonesia became the first company in Asia to get accreditation from the International Association of Professional Debt Arbitrators (IAPDA).