What you NEED to know about Debt Settlement Companies...LEARN
Date: Tue, 06/16/2009 - 08:57
Debt Settlement companies apply the first several monthly payments (Vary) toward upfront fees of up to 10-15 (I've read about more) percent of the consumer's credit card debt. Then they also apply each monthly payment toward a monthly maintenance fee of $30 to $60 (I've read about more $$) for just being in the program. The remainder of the monthly payment goes into an escrow (Bank) account until enough money accrues to make a settlement offer to the credit card company, which often takes several months. During this time your creditors are becoming very PO'ed and will sometimes (More times than not) sell your debt to a junk debt buyer. Now you have a problem. If a Debt Settlement company reaches a settlement on one of the consumer's accounts, the company charges the consumer a settlement fee that is sometimes 13 percent of the amount by which the company was able to reduce the consumer's debt through settlement negotiations. And last...here is the Kicker!!!!!!!.....you have to pay taxes to Uncle Sam on the debt. THIS IS STANDARD PROCEDURE.
So let me get this straight:
1. You charge me upfront fees (They vary from company to company)
2. You charge me a monthly maintenance fee (Again vary from company to company)
3. You charge me a settlement fee. (Tell me again why you are charging me for this?)
4. I have to pay taxes to the IRS for the debt you settled for me.
HOW and I repeat HOW are you saving me money? It seems this business model is severely lopped sided. And frankly it doesn't make much sense. You are charging me at EVERY turn.
LOOK...not all debt settlement companies are bad. Some actually do what you pay them to do. Can't name five...LOL but hey there has to be more from the thousands around. I have FAITH that there are. But at what cost? You can do what they do for free. Remember the old saying: Give a man a fish and you feed him for a day. Teach a man to fish and you feed him for a lifetime. This applies here. I greatly implore you to learn how to do it yourself. It's not that hard. But if you have to use one DO YOUR HOMEWORK on the industry and settlement companies you are interested in. This Site can help you with that. It has a TON of info on MANY companies. Yeah I know it sucks and it is a lot of time and effort but it will pay off in the end. Be completely happy with the settlement company you choose. NOT left in the dark and don't understand the workings. A LOT of companies like that you are ignorant to the process. That means you will drop out and they WILL NOT refund you your money. FREE money for doing NOTHING. Sadly this is majority of the time.
I'm going to lay low for awhile. Its video game, movie and MUSIC season so I'll be occupied for a bit. Love my METAL.
Good luck everyone!!!!!!!!
So let me get this straight:
1. You charge me upfront fees (They vary from company to company)
2. You charge me a monthly maintenance fee (Again vary from company to company)
3. You charge me a settlement fee. (Tell me again why you are charging me for this?)
4. I have to pay taxes to the IRS for the debt you settled for me.
HOW and I repeat HOW are you saving me money? It seems this business model is severely lopped sided. And frankly it doesn't make much sense. You are charging me at EVERY turn.
LOOK...not all debt settlement companies are bad. Some actually do what you pay them to do. Can't name five...LOL but hey there has to be more from the thousands around. I have FAITH that there are. But at what cost? You can do what they do for free. Remember the old saying: Give a man a fish and you feed him for a day. Teach a man to fish and you feed him for a lifetime. This applies here. I greatly implore you to learn how to do it yourself. It's not that hard. But if you have to use one DO YOUR HOMEWORK on the industry and settlement companies you are interested in. This Site can help you with that. It has a TON of info on MANY companies. Yeah I know it sucks and it is a lot of time and effort but it will pay off in the end. Be completely happy with the settlement company you choose. NOT left in the dark and don't understand the workings. A LOT of companies like that you are ignorant to the process. That means you will drop out and they WILL NOT refund you your money. FREE money for doing NOTHING. Sadly this is majority of the time.
I'm going to lay low for awhile. Its video game, movie and MUSIC season so I'll be occupied for a bit. Love my METAL.
Good luck everyone!!!!!!!!
Oh and I fogot. There are a TON of local consumer lawyers in yo
Oh and I fogot. There are a TON of local consumer lawyers in your area and everyone elses area that will do the job the debt settlement companies do for much less. YOU have complete control of what's going on and the money you save.
If you must have help. I feel this is the best road to choose. Just use your yellow pages or use the computer to find them in your area.
