We are over 75,000 in debt and going through a hardship but have not made a late payment in over 10 years. We can do a hardship program with the credit card companies but are wondering if it will trash our credit or is it better than settlement and/or management. We understand our credit is going to be ruined one way or the other but we're wondering if we should try the hardship programs or go for debt settlement. The debt settlement companies seem really shady, though. Can anyone shed some light? Thank you!
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.