Is a Debt Settlement Program the same as debt consolidation?
No. Debt Settlement specifically reduces your current outstanding total balances up to 70% by negotiating agreed payoff amounts with your creditors. Conversely, debt consolidation programs combine your outstanding debts into one monthly payment and secure them with one of your most valued possessions – your home. Supported by statistical information available from bankruptcy court sources. By way of example, within 18 months of an attempt at consolidation, 80% of all clientele were reported to be in deeper financial difficulty. When the time line is extended to 5 years, 92% of participants in the consolidation process report continued or more severe financial hardship More than one third of debt consolidation participants eventually file for bankruptcy. It should not be necessary to discuss the time, frustration, expense, public humiliation, weight, and consequences associated with that option. Debt Settlement Programs can save you thousands of dollars and years of repayment. Typically
No. Debt Settlement specifically reduces your current outstanding total balances by negotiating agreed payoff amounts with your creditors. Conversely, debt consolidation programs combine your outstanding debts into one monthly payment and secure them with one of your most valued possessions – your home. Debt Settlement Programs can save you thousands of dollars and years of repayment. Typically settlements with all of your creditors can be accomplished within 36 months or less, with a lower monthly payment than any other debt resolution option. Because of the reduction in overall debt, settlement negotiation is now becoming the ONLY viable solution for many Americans to rid themselves of burdensome unsecured credit.
Related Questions
- I am already in a debt consolidation / credit counseling / debt settlement program. Can I leave that program and work with The Credit Card Solution?
- What is Debt Settlement and how does it differ from Debt Management (also referred as Credit Counseling or a Debt Consolidation Program)?
- Wouldn’t debt consolidation / credit counseling / debt settlement program be a better way to go?
