Frequently Asked Questions

Debt settlement is a process where a debtor and creditor agree to settle a debt for less than the full amount owed. This allows you to resolve your debts for a fraction of what you originally owed, providing significant financial relief.

Our process involves several key steps: 1) Free consultation to assess your situation, 2) Enrollment in our program, 3) We negotiate with your creditors on your behalf, 4) You make monthly payments to a dedicated account, 5) Once settlements are reached, we distribute funds to creditors, 6) You achieve debt freedom with significant savings.

Debt settlement is ideal for individuals with substantial unsecured debt (typically $10,000+) who are struggling to make minimum payments. If you're facing financial hardship and want to avoid bankruptcy, debt settlement may be the right solution. Our free consultation can help determine if it's the best option for your situation.

Most clients complete our program in 4-6 months, though this can vary based on your specific situation. Factors that influence timeline include the total amount of debt, number of creditors, and how quickly creditors agree to settlements. We work efficiently to resolve your debts as quickly as possible.

We specialize in settling various types of unsecured debt including credit card debt, personal loans, medical bills, and business loans. We cannot settle secured debts like mortgages or auto loans, government debts like taxes or student loans, or any debts that are already in litigation.

Once you enroll in our program and we notify your creditors, collection calls should significantly decrease. Our legal team provides protection against harassment, and creditors typically communicate directly with us rather than you. However, you may still receive some communication until settlements are finalized.

Our clients typically save 70-75% on their total debt, with an average savings of 60%. The exact amount depends on your specific debts and creditors. During your free consultation, we'll provide a more accurate estimate based on your financial situation.

While not legally required, having experienced legal representation significantly improves your chances of successful settlements and protects you from creditor harassment. Our team includes qualified attorneys who handle all negotiations on your behalf, ensuring your rights are protected throughout the process.

Debt settlement will initially have a negative impact on your credit score as accounts are typically settled for less than the full amount. However, this impact is generally less severe than bankruptcy. Once you complete the program and become debt-free, your credit can begin to rebuild, often improving significantly within 12-18 months.

We recommend stopping use of credit cards once you enroll in our program. Continuing to use credit cards can complicate the settlement process and may indicate to creditors that you're not serious about resolving your debts. We'll work with you to develop a budget and financial plan for the future.

In rare cases, some creditors may refuse to settle. If this occurs, we have several options including continuing negotiations, exploring alternative resolution methods, or helping you consider other debt relief options. Our goal is to achieve settlements with all creditors, but we'll work with you to find the best solution for any challenging accounts.

In some cases, the forgiven portion of settled debt may be considered taxable income. However, if you were insolvent (your debts exceeded your assets) at the time of settlement, you may not owe taxes on the forgiven amount. We recommend consulting with a tax professional for advice specific to your situation.

Our fees are typically 15-25% of the total debt enrolled in the program, which is significantly less than the average 60% savings our clients achieve. Fees are only charged after successful settlements are reached, ensuring our incentives align with yours. We also offer flexible payment plans to make our services accessible.

We understand financial hardship and work with clients to establish affordable payment plans. Our goal is to find a solution that works for your budget while still achieving meaningful debt reduction. During your consultation, we'll discuss payment options that fit your financial situation.

You can cancel our services at any time with no penalty. However, we recommend completing the program to maximize your financial benefits. If you're experiencing difficulties, we encourage you to speak with your account manager who may be able to adjust your payment plan or provide other solutions.

While we don't offer a traditional money-back guarantee, our success-based fee structure means you only pay after we successfully settle your debts. If we can't reach settlements with your creditors, you don't owe us anything. This ensures our incentives are completely aligned with your success.