The debt settlement process and rebuilding your credit can be a tricky task unless you know the rules.
Debt settlement services are a tool just like debt and you need to know how to use it to decide if it’s your best option.
What is Debt Settlement Negotiation?
Debt settlement providers are companies that offer to negotiate your debt with creditors, getting creditors to reduce the amount you owe usually in exchange for one lump-sum payment.
Why Should You Consider Debt Settlement Negotiation?
Debt settlement negotiation can be preferable as it does not require you to file bankruptcy, which may damage your credit score.
Does Debt Settlement Work?
Debt settlement does work. Yes, there are drawbacks but if it is your only option before bankruptcy then it’s the better alternative.
How the Debt Settlement Process Works
After an interview with the debt settlement provider, you’ll open a savings account that will go to funding your settlement payoff.
A Few Things to Remember about Debt Settlement Providers
Debt settlement providers can’t guarantee to reduce your debt with every creditor.