What is debt settlement?
Debt Settlement is one of the fastest and cheapest way to get out of debt. Debt Settlement is a method of reducing or eliminating your unsecured debt by negotiating an agreed upon payoff amount with your creditors that could be as low as 35-65% your balance. Debt Settlement can save you thousands of dollars and years of repayment.
Debt settlement is a course of action where a debt company that you contact to help you steps in and negotiates your debt with your creditors. These companies exist to help consumers reduce their debt and make it easier for them to pay each month. Financial professionals call each of your creditors in turn and ask them if they would reduce the amount of your payments, the amount of interest you are paying, or the total amount that you owe. If the company is a good one and knows what to say and how to say it, they will be able to get the amount that you owe reduced to a more manageable amount, or at the very least, have each of your credit card accounts set up with a payment arrangement so that you are paying a lesser amount each month that you can better afford. You may wonder if your creditors would agree to any of this, for they have seemed pretty unyielding the times you have spoken to them on the phone. The financial professionals are used to speaking with the customer service repr
Over the past three years since late 2005 millions of Americans are finding that dealing with the seemingly never ending minimum payments which we refer to as the, “Credit Treadmill”, is becoming more and more impossible to maintain. The current national average credit card debt per person exceeds $9,000. This debt amount is high and makes you wonder how someone can get so deep into debt, you might ask “don’t they pay attention to their statements”? The answer is yes they do but first we must understand what is the credit card company’s main focus. That is to get you to pay this month’s minimum payment not the entire balance of what you owe this is how they make their profit. Let’s face it by the time you receive the statement it can feel like it was ages ago when you made those charges. Americans have become so dependent on using their plastic it becomes a major mental exercise just to attempt to recall all the charges from the previous month. As Murphy’s Law would have it some other
Debt settlement occurs when your lender consents to accept less money than you owe on your debt through negotiations between you and your lenders. When a new balance is agreed upon, you will no longer be required to pay back your full debt and will only be responsible to pay back the new balance. Depending on the agreements made, you may be required to pay back the debt in a lump sum or continue to make reduced monthly payments. What is the Process for Getting a Debt Settlement? You can attempt negotiations directly with your lender or hire a debt settlement company to handle the negotiations for you. If you decide to deal with your lender yourself, you must be aware that your lender is under no obligation to negotiate with you. If you decide to hire a debt settlement company to deal with your lender, they already have the knowledge and experience necessary to effectively negotiate with your lender. They already know what lenders are and aren’t willing to settle, as well as the conditi
Many individuals have problems paying their debts on time. Or maybe, you are already behind on payments or cannot afford to stay current due to a financial or medical hardship. Debt settlement is a method to reduce those debts. Our trained debt negotiation specialists will negotiate with your creditors on your behalf to reduce your debt balances by 40-60%. We can also help you to avoid filing a costly bankruptcy.
