Everything you need to know about debt settlement
Debt settlement will initially lower your credit score, but as debts are settled and you rebuild credit, most clients see their scores recover within 12-24 months — often higher than before starting.
Unsecured debts including credit cards, medical bills, personal loans, collection accounts, and some business debts. Secured debts (mortgages, auto loans) and student loans generally don't qualify.
For many people, yes. Debt settlement avoids the severe long-term impact of bankruptcy, allows you to keep all assets, and typically damages your credit less than Chapter 7 bankruptcy.
Our fees are typically 15-25% of the enrolled debt amount, but you only pay when we successfully settle a debt. No upfront fees. The exact fee structure will be explained during your free consultation.
While it's rare, some creditors may pursue legal action. Our team monitors all accounts and prioritizes settlements to prevent lawsuits. We also have legal partners who can assist if needed.
Most clients see their first debt settled within 4-6 months of enrollment. The full program typically takes 24-48 months depending on your total debt amount.
Debt forgiven over $600 may be considered taxable income by the IRS. However, many clients qualify for insolvency exemptions. Your tax professional can advise on your specific situation.
No — you must stop using enrolled credit cards once you enter the program. Continuing to use them can jeopardize your settlements and may violate program terms.
Debt settlement programs may temporarily negatively impact your credit score and may result in collection efforts or lawsuits from creditors. Not all creditors will agree to settle, and results vary by individual situation. Clients are expected to stop making payments directly to creditors while in the program, which may lead to increased interest, fees, and collection calls. Please speak with a debt specialist to determine if this program is right for your financial situation.
Join over 500,000 Americans who have successfully reduced their debt with our program.
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