Each year in Switzerland, many households fall into an over indebtedness situation. There can be a variety of reasons: unexpected expenses, accident, dismissal, divorce, or any situation change. In such cases, some companies offer debt relief solutions. What are those solutions exactly? How does private deleveraging work? Explanation.
Private deleveraging consists essentially in entrusting the management of your debts to a third party, generally a debt relief company. In pactical terms:
In some cases, it is possible to achieve private deleveraging without help, by establishing a rigorous budget. However, a good debt relief advisor provides some additional benefits:
Most importantly, you can end the cycle of mailbox’s fear. Every payment reminder, prosecution threat, etc, will come directly to the debt relief company which will manage this difficult correspondence for you.
The companies offering a private deleveraging service do not work freely. Thus, a small part of the money transfered monthly is kept as payment. However, the saving made as a result of negociation with the creditors is generally much larger than the cost of the service itself. The experience of the advisor will determine the saving made on the creditors.
In fact, enstrusting the management of your debts can offer real relief. However, it is appropriate to remain vigilant in order to choose a trusted partner. PrestaFlex, for example, offers the possibility to meet a specialist in debt relief. Get a free, non-binding, and 100% confidential appointment with a specialist.