How does debt settlement program work?
Many debt settlement companies will provide you a settlement program in which they will negotiate with your creditors to resolve your debt for less than what you actually owe. These companies may charge upfront fees for their services. • Whether it’s a credit card debt settlement plan or any other program which includes other debts, you can stop “paying” your creditors, and in lieu, you have to pay the settlement companies, which will in turn deposit your funds to your account. When enough resources are accumulated, the debt settlement companies will negotiate with your creditors and help to stop all “recovery” efforts. • Debts you can resolve: Credit card debt settlement is very common. Unsecured credit cards, gas/store cards, medical bills personal loans etc can be settled using debt settlement loans. Nevertheless, tax debts, mortgages, child support, alimony car loans with federally assure student loans are excluded from the settlement plan, and cannot be “settled”. • How much settl
Related Questions
- What is Debt Settlement and how does it differ from Debt Management (also referred as Credit Counseling or a Debt Consolidation Program)?
- What are the differences between Debt Settlement / Unsecured Debt Relief Program compared against Credit Counseling?
- What is a Debt Settlement or a Debt Reduction program?
