What is debt settlement?
Debt settlement (also called debt negotiation) is a process of negotiating with your creditors to pay off your credit cards and other unsecured debt (student loans, auto loans, and home mortgages are secured debts, and don’t qualify) for an amount less than you currently owe, often at a 40-60% savings. You will need to be behind in your payments in order to gain the leverage needed to get the creditors to settle your debts at a reduced amount (if you are making your payments on time, creditors won’t want to give you a “deal”). Typically you will pay the settlement company a percentage of the savings.
Does debt settlement really work?
Yes it does. Debt settlement works best for people who cannot pay their bills, are behind in their payments, or are considering bankruptcy. It is not designed for consumers who have small amounts of debt or who can still make their payments. It is a more aggressive approach to getting out of debt, and is not right for everyone. But debt settlement is a proven method, that does work (and worked very well for me personally).
» Click here to read more