Liabilities and Settling Credit Card Debt
Determining your liabilities is critical to putting your financial picture into proper focus and formulating the most efficient approach should you need to settle your outstanding credit card debt.
SettleiTsoft® may help you settle certain liabilities. Accurate entry of this crucial liability information is necessary so that the power of SettleiTsoft may assist you in budgeting, financial management, and making settlements offers.
In financial accounting, a liability is defined as the future sacrifices of economic benefits that an entity is obliged to make to other entities as a result of past transactions or other past events; the settlement of which may result in the transfer or use of assets, provision of services or other yielding of economic benefits in the future.
1. Any type of borrowing from persons or banks for improving a business or personal income that is payable during short or long time;
2. A duty or responsibility to others that entails settlement by future transfer or use of assets, provision of services, or other transaction yielding an economic benefit, at a specified or determinable date, on occurrence of a specified event, or on demand;
3. A duty or responsibility that obligates the entity to another, leaving it little or no discretion to avoid settlement; and,
4. A transaction or event obligating the entity that has already occurred.
Most Common Liabilities
- Mortgages – Amount left to pay on your principal mortgage and other mortgages
- Home Equity Loan – Balance Due
- Automobile Loan(s) – Balance(s) Due
- Student Loans – Balance Due
- Insurance Debt
- Credit Card Debt
- Other Payables (e.g. money you owe to friends)
Many assets and liabilities have market-driven values. Examples include homes, cars, stocks and bonds. Therefore, it is recommended that you update these figures quarterly to keep the values accurate.
Organizing Your Liabilities the Smart Way
Properly categorizing your liabilities can be made easier by utilizing the free financial management tools available at www.settleitsoft.com This comprehensive Web-based software also helps you organize and store your bills, allows timely payment remittance, and provides cloud storage for the safekeeping of and 24/7 access to copies of your essential documents.
Your financial status is a changeable landscape. Keeping your records accurate will allow you to get the most out of your experience with SettleiTsoft.