Debt Settlement FAQs
Debt Settlement with DebtSettlement2010.com
In general, only unsecured debt (not secured by real assets like homes or autos)
can be settled for less than owed. Many people report success in negotiating a debt
settlement for themselves [5]. It’s possible for a consumer to
imitate the methods of professional debt settlement companies or debt negotiation
companies successfully.
A professional debt settlement company can obtain a settlement agreement with an
original creditor. A successful settlement occurs when the credit card company agrees
to take a percentage of total account balance. A payment plan is not an option;
the credit card company will demand that the consumer make a lump sum payment of
the settlement amount. This is where a professional debt settlement company will
help make your payments affordable. You can pay down your balances in 12-36 and
be debt Free!
Negotiating with a collection agency or junk debt buyer is much different then negotiating
with a credit card company. However, many collection agencies (or junk debt buyers)
will agree to take less of the owed amount than the original creditor, because the
junk debt buyer has purchased the debt for a fraction of the original balance. As
a part of the settlement, the consumer can request that collection is removed from
the
credit report, which is generally not the case with the original creditor.
Even if the removal of the collection account from the consumer credit report has
been successfully achieved as a condition of settlement during negotiations, the
negative marks from the original credit card company will still remain, according
to Maxine Sweet, a spokeswoman for credit reporting agency Experian.
We recommend using companies like
www.E-financialFreedom.com or www.DebtSettlement2010.com
to help settle your unsecured debts. Doing it on your own can work, however, our
goal is always to negotiate the lowest terms possible for our clients. Based on
over 10 years of experience and millions saved, this is the smarter option.
