Is debt settlement the same as debt consolidation?
No. The goal of debt settlement is to reduce the overall amount of the debt by negotiating agreed payoff amounts with your creditors. Debt consolidation requires you to take a loan to pay off your unsecured debt with secured debt. Debt Consolidation loans transfer the debt from one account to another and typically takes unsecured debt(s) and changes it into secured debt (usually your home). If you do not have enough equity (typically 25 – 30% LTV), bad credit, or too much debt, it is not likely that you will be approved for a debt consolidation loan. Statistics show that about 70% of people who obtain a debt consolidation loan find themselves in deeper debt than they were originally in within a two year period. You cannot borrow your way out of debt. Ask yourself why you would want to go from an unsecured loan to a secured loan to be paid over a longer period of time? The main problem with consolidation loans is that once you have paid off the credit cards you have a whole new source o
No. A debt consolidator makes one loan to you to pay off all of your debts. They charge you interest on this loan and in some cases you are still required to pay interest to your creditors. As a result, your principal debt balance remains the same and you remain years away from becoming debt free. With our debt settlement program, our highly skilled negotiators will negotiate on your behalf utilizing our experience and the debt collection laws to significantly reduce your debt. In most cases you will only pay a fraction of what you owe. Typically, with our Debt Settlement Program we resolve our clients debts in 9 to 24 months, often sooner.
No. A debt consolidator makes one loan to you to pay off all of your debts. They charge you interest on this loan and in some cases you are still required to pay interest to your creditors. As a result, your principal debt balance remains the same and you remain years away from becoming debt free. With the CCDR debt settlement program, our highly skilled negotiators will negotiate on your behalf utilizing our experience and the debt collection laws to significantly reduce your debt. In most cases you will only pay a fraction of what you owe. Typically, with the CCDR Debt Settlement Program we resolve our clients debts in 9 to 24 months, often sooner.
