What is Debt Settlement?
Debt Settlement is the process of paying off debt by negotiating settlements with creditors. A settlement usually means paying the creditor less than the full amount due. This process is an alternative to bankruptcy.
Debt happens, and when it does you need debt relief. But sometimes consolidation using a debt consolidation loan is not an option. This is why debt settlement works for so many people.
Creditors, like a credit card company or debt collector, agree to settlements as an alternative to potentially receiving nothing when a debtor files bankruptcy.
Have you ever wondered how to get out of debt? You can use debt settlement to help with:
- Credit Card Consolidation
- Medical Debt
- Vehicle Repossessions
- Mortgage Deficiency balances
- Student Loans
- Utility Bills
- Phone Bills
- Tax Liens
- Charge Off Accounts
FAQ FRIDAY: WHAT IS DEBT SETTLEMENT?
Here is a quick video explaining debt settlement and how it can help you!
If you can no longer afford to pay, then it's time to consider resolving your debts with creditors.
Resolving debt can mean 3 things:
- Settling the debt aka paying less than the full balance;
- Fighting the charges because there is a legal defense to owing the full balance; or
- Paying nothing because you do not owe the debt or the debt is not legally enforceable.
Deciding how to resolve a debt is part of our debt settlement process.
How much can I save?
It depends. In general, people save 50% (even on small accounts - it adds up!)
How long does it take?
It depends on you, creditors, and the legal issues - so from 90 days up to 2 years.
What does it cost?
It depends. We offer flat rate pricing and payment plans - starting at $100/mo.
What about my Credit Score?
If you are already in collections, the damage has been done. Resolving your collections, and making your debt more manageable is the key to long term credit score improvement. We also offer credit repair and credit counseling as part of our debt settlement legal service.
Bonus: if you are looking to buy a home, debt settlement will improve your credit score and debt to income ratio.