Debt settlement has become so popular that each and every borrower now thinks that repayment of the debt, no matter how small, can be avoided. That is definitely not the case. Lenders have not forgiven debts en masse. Rather, they are merely offering waivers to those who cannot afford to repay the loan and who are contemplating bankruptcy to escape the problem. Since debt settlement services have become popular, it is not surprising that a large number of scams and frauds related to settlement have become very common. If you want to avoid dealing with scam companies and deal only with legitimate companies, you should consider the five points given below.
1. Avoid companies that require full payment of the fees up front
Never pay full payment for the services to be rendered by the debt settlement company in advance. If the service provider insists on full and final payment, it is best to simply skip the service provider and opt for another company.
2. Avoid companies that advice you to stop making repayments even before negotiations begin
This is the most dangerous advice that you can get. Legitimate companies do not demand full fees up front and do not tell the individual to stop making repayments. Continue making repayments until and unless you receive a written confirmation of the settlement of the debt.
3. Avoid companies that are careless or casual wit paper work
Are you yet to get a copy of the agreement you signed with the service provider? Were you given the copy of the wrong agreement? Have you been requesting the company to forward the settlement letter received from the lender for weeks now? A finance related company that is casual in paperwork is best avoided. On the other hand, legitimate companies are always fastidious in maintenance of paperwork.
4. Avoid companies that promise outrageous results like 90-95% waiver
If it sounds too good to be true, it probably is. A company that claims to provide unbelievably high waiver is best avoided. Such waivers are reserved only for extra special clients.
5. Check for affiliate with TASC
The Association of Settlement Companies acts as the regulatory body for debt settlement companies. A company affiliated with the association is definitely a better choice as compared to an unaffiliated company.
If you want to get out of debt and hire a debt settlement company for debt negotiation then I have an important piece of advice. Do Not go directly to a particular debt settlement company but rather first go to a debt relief network who is affiliated with several legitimate debt companies. In order to be in the debt relief network, the debt settlement companies must prove a track record of successfully negotiating and eliminating debt. They must also pass an ethical standards test. Going through a debt relief network will ensure that the debt company you are provided with is a legitimate and respected company. This is the most efficient way in finding the best debt settlement companies and increasing your chances of eliminating your debt.
FreeDebtSettlementAdvice.com is one of the largest and most respected debt relief networks on the marketplace today. To find a debt settlement company through FreeDebtSettlementAdvice.com check out the following link:
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