How does Debt Settlement work?
Debt settlement works by reducing the balance of unsecured debt through a negotiations process. As opposed to simply reducing the interest rate, and paying the entire balance over time, debt settlement reduces the balance itself, providing a much quicker means of becoming debt-free. Most creditors are willing to accept a portion of the balance owed in order to close out an account rather than lose the entire amount if bankruptcy is the only other alternative.
We set up a program that is based on you setting money aside and letting us negotiate the best settlement for you and your situation. Once you are officially enrolled in our program, US Credit Relief contacts your creditors. You continue to put funds in your settlement account (we call it saving). We send settlement offers to your creditors. As long as you continue to save (according to the program we’ve established with you), you will get the best settlement possible. Once a settlement is reached with a creditor, we contact you and let you know. If you approve, it’s a go. This process continues with each creditor until all your debts are settled. A typical settlement program takes 12 to 48 months. The length of time depends on how much you owe and how much you save monthly towards your debt. When we forecast what you will save, the percentages reflect what you will save at the time of settlement and illustrate the typical amount our clients have saved on settled accounts. We can’t gua
Debt Settlement works by reducing the balance owed (principal) on your unsecured personal debt accounts through the time-honored process of creditor negotiation. This is different from simply reducing the interest rate as with Debt Consolidation and Credit Counseling, which do not affect the total debt balance.
Eliminating your debt is not an easy task. Debt settlement is an excellent tool for reducing your debt exposure while at the same time avoiding lowering your credit score due to delinquencies. Learn what the benefits of negotiating your debt with your creditors are and understand what steps you need to take in order to improve your debt to income ratio. Debt elimination is vital to improve your financial situation. It is always advisable to get debt free prior to start investing your income since the money you loose on interests is almost always higher than the amount you can obtain from investing your money on bonds, stocks, or other investing options. In any case, the relied that being debt free provides is well worth it. Debt Settlement: A Personal Issue A debt settlement process differs from one person to another. The nature of ones debt can vary and requires different tools in order to reduce or eliminate it. However, credit card debt is a common problem almost for everyone and is
Debt settlement is a debt management process that allows a consumer to ’settle’ a range of debts by making a specific move to pay off some of them. The creditor to whom the money is owed will, if they accept the settlement offer, wipe off the rest of the debts that remain. There are various ways to take on a debt settlement solution. You can take a do it yourself approach here and simply approach your creditors and try and negotiate a settlement agreement with them. Alternatively, you can use a debt settlement company that will do this on your behalf. The first route works well for some people but others find it hard to actually negotiate with creditors themselves and prefer to get help to do so. Using a debt settlement service can make things easier but will cost you money as most companies here will levy charges to help you get your debts settled. There are various ways to settle debts here. In some cases you can offer up a lump sum payment and try to get your creditor to agree to ta
