The company's website is noticeably deficient in online resources and basic tools, such as a simple debt calculator or articles explaining the types
of debt relief options offered.
There are a lot
of debt relief companies promising to help people get out of debt via debt settlement, a method of negotiating with creditors to reduce the amount you have to repay.
However, you must spend time considering all of your options and the effects of each one before you jump into any
kind of debt relief program.
To help you choose which service makes the most sense for you, we compare the costs, pros and
cons of each debt relief option with a consumer proposal.
Many consumers have been more careful with their outstanding balances since the recession, when many faced financial trouble and needed to seek some
amount of debt relief.
A material
aspect of a debt relief service includes any information that is likely to affect someone's decision to sign up for your program or to choose one program over another.
So if you owe more than $ 10,000 in credit card debt, take
advantage of the debt relief that enables a portion of your outstanding balance to be forgiven.
There are a
number of debt relief solution options for many people around the country who are suffering in serious debt.
These kinds
of debt relief strategies are aimed towards negotiation with collectors and creditors, agreeing to specific reduction terms to collect the outstanding balance.
The amount which the consumer saves with the
use of debt relief services can be regarded as taxable income.
There is a fundamental flaw in the tug - of - war between the goals of the consumer and the
goals of the debt relief company.
It is important that debt relief companies across the nation explain the negative and positive
side of each debt relief plan, not just the benefits.
The
definition of debt relief services does not cover things like this site, self - help books, or instruction without intervention.
Perhaps your medical expenses are ongoing and you worry about whether you can still receive treatments that you need if you file bankruptcy in
pursuit of debt relief.
You can file a consumer proposal as a form
of debt relief if your total debts do not exceed $ 250,000 (not including mortgages on a principal residence).
The primary
benefit of a debt relief program is that you can eliminate your obligations for a fraction of what you already owe on the accounts.
There's another
breed of debt relief companies you may encounter as you're trying to figure out what to do about your debt — debt negotiation companies.
However, with millions of student loan borrowers in distress and
thousands of debt relief companies looking to profit from their pain, this problem can not be solved by law enforcement alone.
Focusing on eliminating your debt should be your top priority, and depending on the program you might choose, there could be both benefits and
repercussions of debt relief.
Be
aware of debt relief «companies», as they are not held to the same legal and ethical standards in which attorneys are held.
For consumers who don't know where to turn, there are companies that specialize in navigating the complex
world of debt relief.
If you're considering hiring a debt counselor then choosing a reputable debt counseling service determines the
success of your debt relief program.