Okay if one spouse does debt settlement because they are "insolvent" how does that work if you get the c1099 or whatever it is from the CC company? If the couple files taxes together, can one be insolvent if together they may not be? Does the form for that include both people's income or just the one who is doing DS? I hope that makes sense.
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.