Orlando Debt Relief
14 MIN READ
Published October 10, 2023 | Updated November 10, 2023
- An influx of population as one of Florida’s “Boom Towns” actually helped raise Orlando’s average credit score in recent years.
- Orlando residents face one of the most volatile housing markets in the nation, making it hard for many to own property.
- With 40% of Orlando residents holding a bachelor’s degree or higher, student debt is a big source of consumer debt for those living in The City Beautiful.
- TurboDebt enrolled an average of $20,000 in debt from residents in 2022 alone, providing Orlando debt relief for many citizens.
Debt Landscape in Orlando
The City Beautiful is a destination for more than just theme parks. Residents enjoy a thriving hub of Florida living, from arts and culture to small towns and natural spaces clustered around the Central Florida metropolis of Orlando.
With strong ties to the aerospace industry through NASA and leading private companies, Orlando’s tech sector continues to expand, spurring job growth and attracting skilled professionals to the area. In fact, The City Beautiful is one of the most moved-to destinations in the country, gaining more residents after the pandemic as one of Florida’s “boom towns.”
Because so many Orlando residents carry a bachelor’s degree or higher, many struggle to pay off student debt. Home to the University of Central Florida, one of the largest colleges in the nation, Orlando’s population carries a median student debt of over $20,000.
Between student loans, higher prices for essential goods, and inflated housing costs, debt relief options in Orlando are more sought after than ever. Finding the right way to manage and eliminate outstanding balances like credit card bills is essential for those trying to cope with inflation that’s outpacing wages.
Read on to learn more about how you can find debt relief in Orlando, the signs you may need it, and what the data shows about The City Beautiful’s financial health.
TurboDebt Helps Orlando Residents Get Out of Debt
If you’re looking for Orlando debt relief, join the residents who’ve already enrolled over $2 million in outstanding balances with TurboDebt. In 2022, we enrolled an average of $20,344 in debt from Orlando residents.
Florida debt relief is a big deal for us, and we serve more clients in the Sunshine State than anywhere else in the U.S. except Texas and California.
Signs You May Need Debt Relief
Struggling with debt can impact nearly every aspect of your life. Before you pursue debt relief programs in Orlando, it’s a good idea to identify what’s causing a burden on your finances. Here are some key signs that seeking debt relief may be the best choice for your financial situation:
- Discovering you have a high debt-to-income (DTI) ratio
- Carrying a balance on multiple credit card accounts
- Taking out a loan to pay for essential purchases
- Making only the minimum credit card payment often
- Owing thousands of dollars in unpaid balances for credit cards, medical bills, or other unsecured debt
Your DTI is a big indicator of your financial health. Use an online tool like TurboDebt’s DTI calculator and learn more about why this number matters. The lower your debt-to-income percentage, the better.
A high DTI indicates that more of what you take home in your paycheck goes toward debt repayment than what is considered average. This also means you have less money left over at the end of each month to put toward savings, investing, or additional debt reduction.
If you notice one or more of these factors in your financial life, it’s probably time to consider which debt relief options can help you get a fresh start.
Best Ways to Get Debt Relief in Orlando
Here are the top debt relief programs in Orlando to consider:
This option involves working with creditors to reduce the balances on each of your debts so you owe less money. You can do it on your own by contacting credit card companies or other lenders or enrolling with a debt settlement company to negotiate on your behalf.
If you’re carrying over $10,000 in credit card debt, settlement can be an effective option to eliminate part of what you owe. Working with a professional organization can often get you the best results, even up to 50% of what you owe before paying fees to the company handling your debt negotiation.
Credit counseling agencies provide advice and financial education training when you enroll in a program. Once you get started, you’re typically assigned a certified credit counselor who acts as a personal advisor to discuss your finances.
Credit counselors can help you budget, explain your credit report, and offer other suggestions about how you can strengthen your credit score and pay off debt.
Debt Management Programs
Many credit counseling organizations also offer debt management programs to help you eliminate debt. You’ll often work with a credit counselor to create a debt management plan. This plan organizes your debt so you pay a flat fee each month to the organization, which then pays off your creditors.
Once you agree to a plan, credit counselors may also negotiate with creditors on your behalf to waive fees and lower interest rates on your outstanding balances. As long as you make your payment in full and on time each month, you’ll continue to enjoy these benefits.
Debt Consolidation Loans
Another way to tackle your debt is through a consolidation loan. This option effectively reorganizes your debt into a single payment. First, you’ll need to qualify for a loan big enough to cover all your outstanding debts. Once you secure a consolidation loan, you’ll use the funds to pay off all your accounts, leaving you with a single loan payment each month.
This option works best for Orlando residents with a credit score in the “fair” to “good” categories, as you’re more likely to get a loan with a lower interest rate. If not, you may wind up paying more in interest over the course of the consolidation loan.
Although uncommon, debt forgiveness can eliminate all or part of your debt once you qualify for one of these programs. Most debt forgiveness programs are offered through the state and federal government based on qualifications like your employment history, occupation, or income. For example, federal employees may qualify for loan forgiveness based on their years of service.
Debt forgiven through a program is usually considered taxable at ordinary income tax rates. However, since Florida doesn’t collect a personal income tax at the state level, Sunshine State residents get a break from paying income tax on this amount to the Florida State Treasury in Tallahassee.
If you have no other way to pay off debt, bankruptcy is the last option. When you file bankruptcy, the court system intervenes and determines how you should repay creditors. When you file for Chapter 7 bankruptcy, a judge may decide how to sell your assets to pay off your debts. Under Chapter 13 bankruptcy, a judge may mandate a repayment plan based on your income.
It’s best to speak with a law firm to get advice from a bankruptcy attorney before pursuing this option. Bankruptcy can also negatively impact all three of your major credit reports and FICO scores for up to ten years, so consider carefully before you make a choice.
Top Types of Debt To Get Relief From in Orlando, FL
Residents of The City Beautiful typically struggle with the following types of debt:
Credit Card Debt
With credit card debt at an all-time high in the U.S., Orlando residents, like many other Americans, have been charging more on credit cards to keep up with inflation. Costs for essentials like groceries, gas, and utilities have outpaced wages in most places, making credit cards a lifeline for paying the bills between paychecks.
Interest rates have risen dramatically too, making credit cards an easy way to fall into debt. If you’re struggling to afford your payments and only make the minimum, you could wind up paying over 20% in interest on your balance. If you keep this up from month to month, you’re likely to pile up more debt in a vicious cycle.
Debt relief can help you overcome this burden with professional resources to structure payments or negotiate with debt collectors. TurboDebt offers debt settlement programs to help you regain your financial freedom.
In the aftermath of a divorce, debt is not something you want to worry about. However, many spouses leave a marriage with divorce debt from joint loans like mortgages, plus heavy legal fees.
It can seem impossible to get your finances back on track after divorce, but TurboDebt is here to offer advising, strategic planning, and other debt relief solutions so you can start rebuilding your wealth. Get started with a free consultation today.
The City of Orlando’s Business Assistance Program pays up to $20,000 towards fees for small business owners who set up shop in the area. Even with this boost, it may not be enough to fund your company without using personal resources. Owners often take on debt to cover opening, expanding, or even sustaining a business.
Don’t let business debt stop you from achieving success. At TurboDebt, we can help you manage your business debt and work with you to find a solution.
Medical debt can escalate quickly after a healthcare procedure or treatment. Even routine testing can bring a flood of medical bills that your insurance may not cover. For the 16% of Orlando residents without health insurance, healthcare costs can become a heavy debt burden that’s difficult to overcome.
If you’re struggling with medical debt in collections or even trying to pay down some hefty healthcare bills, contact our experts at TurboDebt. A solution like debt settlement could help you pay off what you owe faster and reduce your total balance.
Orlando’s real estate market is one of the most active in the Southeast. In August of 2023, home inventory grew over 6% against a backdrop of falling inventories across the nation as new homes were being built and existing homeowners put their residences up for sale. Home values continue to rise, too, with an average sale price of $447,376 in The City Beautiful.
While strong home values help owners build equity, these prices also drive out new and existing buyers in the area who can’t compete with cash buyers from out of state or other Florida cities such as Miami.
Hurricane Ian also left Central Floridians with repairs after historic flooding destroyed homes throughout the area. Floridians already face some of the highest home insurance costs in the nation, and premiums may only cover certain types of damage.
Let TurboDebt come alongside you and create a plan to overcome your homeowner debts and avoid foreclosure.
More retirees move to Florida than any other state, with plenty calling the Orlando metro area home. Living on a fixed income means that unexpected costs can quickly turn into debt.
If you’re struggling with debt instead of enjoying your retirement, let TurboDebt assist you in finding a solution.
Orlando Debt and Finance Statistics
Those living in the Orlando metro area not only face rising costs for essential items like food, but prices for automobiles and housing have also skyrocketed in recent years. Here’s a deeper look at the economic climate of The City Beautiful:
Consumer Debt in Orlando
As the costs of goods and services continue to increase at a faster pace than wages, many Orlando residents face growing consumer debt.
Consumer debt measures the average debt burden of an individual based on the amount of credit card, auto loan, student, and mortgage debt they carry. While mortgage debt accounts for the largest portion of this figure, looking at these categories gives a good picture of a region’s financial burdens.
Here’s how Orlando’s consumer debt breaks down, represented by the median amount in each category:
- Credit Card Debt: $2,488
- Auto Loan Debt: $15,814
- Student Loan Debt: $20,372
- Mortgage Debt: $162,932
Records from Florida’s Middle District Court indicate that 3,169 residents filed for bankruptcy as of July 2023. This is a slight increase from the previous year as bankruptcy numbers across the nation continue to rise after hitting record lows in the last decade.
Average Income and Employment
While hospitality makes up the largest employment sector, Orlando residents also work in a variety of leading industries, including technology, business services, education, and healthcare. Residents earn a median household income of $58,968.
Unemployment numbers in Florida continue to ride lower than the national average, with Orlando residents averaging 3.1% unemployment in July of 2023.
With the influx of population, Orlando’s average credit score increased to 700 in 2022. This is an increase of 12.6%, putting residents of The City Beautiful in a strong position to secure loans at lower interest rates for their “good” credit rating.
Florida ranks third in the nation for cases of identity theft, with over 500 reports per 100,000 residents. Victims are at risk of losing thousands of dollars from thieves who prey on many of Florida’s elderly residents.
“Unfortunately, several cities up and down the state of Florida have become a new haven for scam artists and identity thieves who have grown rapidly in the state since the start of the COVID pandemic,” Brad Reichert, Founder and Managing Director of Reichert Asset Management LLC, shares.
He encourages Orlando residents to learn how to protect themselves against cybercrime. “For some great advice, information, and direction on how, where, and when you can protect yourself as a Florida resident, you can visit the Florida Attorney General’s website for more Consumer Protection advice and resources,” Reichert explains.
Find Orlando Debt Relief with TurboDebt
Living with debt can make Orlando anything but the happiest place on earth. Find the right solution to overcome your financial burdens with TurboDebt. We continue to aid the Orlando community by offering debt relief services and connecting our expert team with those who need it most.
With thousands of 5-star reviews on Trustpilot and Google, you can trust us to help manage your debt burden. Contact us today for a free consultation to start your journey toward becoming debt-free.