Debt Settlement

Debt Settlement, when done properly, can get you out of debt twice as fast as a traditional credit counseling program.
Debt Settlement (DS) is a form of debt relief that is the process of reducing or settling debt at an amount lower than the balance. (DS), when done properly, can get you out of debt twice as fast as a traditional credit counseling program. Sound too good to be true? The fact is debt settlement only works for certain people and is not a one size fits all answer to get out of debt.

 

Is a debt settlement program right for you?

Debt settlement is not the right program for people only looking to consolidate their monthly payments or reduce interest. This program is aggressive and generally considered to be the last option before bankruptcy. The most important criteria for any (DS) candidate is that you have a valid financial hardship. At Select Debt Relief it is one of the first things we will ask you about. “Tell me about your situation” or “what caused you to accumulate the debt?” These initial questions will tell us very quickly if you are in a situation that calls for debt settlement or not. The bottom line is that if you are not in a position where you need the help, your creditors will have no reason to reduce the debt amount.

Because we only approve clients into our program that are experiencing a financial hardship, most creditors are willing to negotiate with us and reduce the debt to a reasonable level. It is important to note that there is nothing our debt negotiators can do to force the creditors to accept certain settlements. Debt Settlement (DS) is also a benefit to the creditors because it allows them to recoup some of the money without pushing a debtor into bankruptcy. Debt settlement is really just the process of a creditor agreeing to lower the debt balance to get paid and be done with it. As a matter of fact, debt can be settled by individuals without the aid of a professional debt relief company or negotiator. The benefit to going with a good (DS) company like Select Debt Relief is that many of the headaches and day-to-day grunt work involved in settling debt are all taken care of for you. Even with our service fee included, on average we will save the client substantially more than if they settled the debt on their own. Most people who enter our program do so only after attempting to negotiate with their creditors and getting nowhere.

Out of the various ways to get out of debt, (DS) falls somewhere between consumer credit counseling and bankruptcy. Credit Counseling is not as aggressive as debt settlement because it only aims to reduce the interest rate and allow the client to make one monthly payment. (DS) is not as severe as a bankruptcy because it does not completely wipe the slate clean or require you to file in the United States Bankruptcy Court. For people who need more help than an interest rate reduction but are not ready to commit to a bankruptcy, (DS) can be a viable and effective solution.