Most creditors and collectors negotiate with
debt settlement service providers.
From my view, both DMP and
debt settlement service providers get it wrong when marketing and providing their specific debt relief tool.
For many years debt relief plan providers, such as nonprofit credit counselors, and
debt settlement service providers, have been seen as two separate and distinct structures in the debt relief services industry.
«Debt settlement companies are the only truly independent voice for the consumer when dealing with overwhelming levels of consumer debt and we are pleased that the FTC recognized that debt settlement is not only an appropriate alternative but also a necessary service when delivered by a legitimate
debt settlement services provider.»
Not exact matches
Those proposals speak less to
debt settlement companies themselves, in most cases, than they do to so - called «lead generators» — companies that advertise
debt settlement, sign - up potential clients and then sell their information to back - end
service providers.
If they are getting the value they expect and want out of the
service, then it may be worth it for them to pay a subscription fee that is cheaper than say, working with a professional
debt counselor or
debt settlement provider.
The first part says «In each of these surveys, roughly 50 % of survey respondents indicated that they now engage
debt settlement providers as part of a strategy to locate collection accounts and increase collections through the use of these third party
service providers.»
Most companies who advertise themselves as
debt relief
providers actually offer a
debt consolidation
service, a
debt negotiation
service,
debt consolidation loans,
debt settlements or a combination of two or more of them.
Some of the 18 companies and 34 credit counselling
providers offering
debt settlement services in Ontario charge customers large upfront fees and describe the
services they will provide in hard - to - understand contracts.
This website will submit the information you provide to third party financial
services providers specializing in providing credit counseling,
debt settlement, and
debt consolidation
services.
For example, our
service provider has settled over $ 1 Billion dollars in
debt, so we know that our
service provider has what it takes to negotiate successful
settlements with creditors.
Some CareOne
service providers offer two types of
debt consolidation plans: a
debt management plan and a
settlement plan.
To determine the monthly
service fee, the
provider must aggregate the number creditors in the plan — whether they are to receive regular payments or a one - time payment in
settlement of the
debt — and impose any per - creditor charge on that aggregate number (not to exceed a total of $ 50 in any month).
That seems like a lot of authority for just an underlying
service provider that was «hired to support your automated
debt settlement program.»