Christian debt consolidation - Are they a rip off?

When I was shopping around for debt settlement companies I came across many Christian debt consolidation/settlement companies too. I don't know, I guess I just didn't feel comfortable with a company using the Lord as a marketing tactic (although, maybe it is true). I eventually found a company through solicitation removed, and they did all of the searching for me. It was super easy. I've just started about 4 months ago, and so far so good! Soon to be debt free!

All the debt relief or debt consolidation weather it is Christian or not. Be very careful. I would not recommend them. They will take your money faster than anything and they don't really do their job well. You can do it all by yourself. Just don't be afraid of anything. Even if you are sue, you can always make payments with the court. They will take on your payment tern. They will offer you a settlement down the road. If you make payment, there won't be any more interest. I have been there.

i got a call telling me to call 281-214-1203 allied data cor. but it did not ask for anyone just for the person on the phone to call can you help me please

Most companies that claim to be Christians are rip offs, why? because it is agianst the law to hire based on race, religion, sex, etc. you get the idea! If you really want to save money you need to be educated and go with a company that isn't doing the exact opposite of what a Christian would do.

ITS IILEGAL!

When the debt charges off, usually around the same time it is purchased (factored), there are no longer chances of getting that substantial 1099 added income tax on the savings. It's a major pitfall with settling with the primary creditors, I only did settlements with 3rd parties, and always try to verify charge off date before settling. Most CC companies charge accounts off between 120-180 days, with Citi being the longest I know of at 210 days (7 months after the last payment was made). It's a long process and can be more difficult to get the original creditors to stop calling, but it's worth it not to get 1099'd. I can't offer tax advice but that's my understanding of the process. I do know that Capital One, Citi, and Chase will each take some form of remove from phone list letter, or even a Cease and Desist usually used with 3rd party collectors.

Good debt settlement is possible, there is just a window of time after chargeoff and before litigation to get a good settlement. Even if it's with a same state attorney who is filing suit for a judgment, you can negotiate a settlement of usually around 50% most of the time. If thats not doable at the time, you can either go to court or take a default judgment. If a judgment is obtained, they can still be settled often under 30%. It takes a couple years to get them off the credit report from what I have heard but still can be removed. After you get a judgment though, you have to send them a certain amount of money per month, usually $25-$100 depending on the size of the debt, to prevent them from executing the judgment, which is going after liens, garnishment, and checking account freezes. Consult with a business lawyer as there may be different/ other things you need to do to prevent a judgment from being executed, if you end up getting a judgment.

Andy










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Originally Posted by Anonymous I too need some financial help but every consolidator I have spoken to fails to mention about the IRS potential tax liability you have after signing up and they set up. The settled amount s then reported to the IRS as income you gained and you have to pay taxes on it Not only that, after the payoff it is reported to the credit bureaus you settled for less. So it's not as good as they say.

Also, the credit score will go down with any debt consolidation OR settlement program. It should really only be looked at as an alternative to bankruptcy, and most of my former clients already had low credit so it didn;t make much difference. However, after debt is all settled, you can begin the process of repairing the credit, which can involve things like sending different sets of letters to the credit bureaus to dispute the inquiries caused by settled below balance accounts and other negative marks. Some of the more detailed credit repair plans include re-establishing lines of credit with lenders that are manageable. Hope this helps

:) Hello. I find that the "Christian Debt Consolidation" companies have nothing more to offer than the legitimate, non-promoting-Christian debt consolidation companies. I am currently working with Care One Credit to get out of my credit card mess. It's my own fault, I took credit cards out (again) post-Chapter 7 back in 2006. Care One Credit, although not "Christian" (in advertising, anyways) has been nothing but friendly, helpful and convenient. Just a thought! ~Thanks, Jen D.

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Originally Posted by dayfam christian debt consolidation 2201 N.W. Corporate Blvd., STE 202 boca raton, florida. are they a rip off? ever heard of them.

A friend told me about these folks, so, I called. Assuming (one should never do) that they would be a ".org" organization, out to "help" people.

Not so, the guy was telling the truth, I think, when he told me they are just a segment of a larger "For Profit" company.
Too many people trust organizations that appeal to personal religious beliefs.
He asked what I paid each month, I told him, WELL, he came back with a settlement that had me paying the same amount of money. Could NOT get through to him, that I was calling because it was taking food from my table! I said thank you and hung up.
If there were an icon below for "CAUTION", I'd post a red flag warning.

The Christian debt consolidation does a right thing if it educates the people to honor their payments and dues and live within their limits. Actually, it is important to make a debtor debt free, but it is still more important to make him realize that he has the responsibilities to return back, what he has taken from others. This way, they will not fall under debt in future, as they come to realize that they should live within the limitations of their income.

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Originally Posted by Fred Esterly The Christian debt consolidation does a right thing if it educates the people to honor their payments and dues and live within their limits. Actually, it is important to make a debtor debt free, but it is still more important to make him realize that he has the responsibilities to return back, what he has taken from others. This way, they will not fall under debt in future, as they come to realize that they should live within the limitations of their income.

Um, what?