Debt settlement is a relatively new and far more aggressive option for consumers that have accumulated debt to a level where making even the minimum monthly payments is no longer feasible. A debt settlement can include credit card debts, medical bills in collections, department store cards, signature loans, overdue rent, unpaid utility bills, unsecured lines of credit, and revolving charge accounts.
The team at 800 Debt Settlement starts its process with a consultation with the consumer to first determine that debt settlement is going to provide the best debt relief option. Other relief options that would be considered are credit counseling, debt consolidation, and bankruptcy. In most cases, the benefits of a debt settlement far outweigh the potential results of the other debt relief options available to people that can no longer keep up with their consumer debt payments.
One of these benefits is an immediate reduction, upon initiation of the settlement, of the monthly payment on all debt included in the settlement by approximately 50%. The borrower makes a single payment to a trust or escrow account where funds are accumulated in preparation for negotiations with the creditors in the settlement.
While circumstances surrounding each person’s debt situation are unique to each case, a successful settlement will typically reduce outstanding balances owed to creditors by 40 to 60%. Depending on the borrower’s ability to pay, the length of time for a full payoff of all debts included in the settlement can range from 18 to 48 months. At the end of the debt settlement process the borrower will have paid off the negotiated balance on each account in full.
800 Debt Settlement has been an industry leader helping consumers with debt. During this time we have executed hundreds of debt settlements saving our collective clients millions of dollars. Our expertise, friendly service, and proven methods for settling debt will get your life back on the right track with an outcome customized to your specific needs. Contact us today and get a free quote with our on-line application. The road to financial freedom can start immediately.