What are the differences between credit counseling and debt settlement?
In Credit counseling you repay the complete balance, plus interest and any fees associated with the account. Where as in debt settlement you only pay back a portion of your debt. That is why debt settlement is a much faster approach to becoming debt free. This means less money comes out of your pocket which provides you more cash flow to allow you to catch up on your every day expenses. Credit counseling only work with clients that are in “good standings” with there creditors, if an account is charged off, it will not be eligible to be enrolled in here program. Debt Settlement accepts charged off accounts.
In credit counseling you repay the complete balance, plus interest and any fees associated with the account. Where as, in debt settlement you only pay back a portion of your debt. That is why debt settlement is a much faster approach to becoming debt free. This means less money comes out of your pocket and allows more cash flow to catch up on your every day expenses. Credit counseling services work for the creditors; receive their form of payment for the creditors in the form of “Fair Share”. That is a conflict of interest. Debt settlement works for you and does not receive “Fair Share” from the creditors. Credit counseling services only work with clients that are in “good standings” with there creditors, if an account is charged off, it will not be eligible to be enrolled in their program. Debt Settlement accepts charged off accounts.
