Share post
Share
Debt Consolidation Forums Debt Consolidation and Debt Settlement forums

Is it better to settle debt or pay in full?

Date: Thu, 11/10/2016 21:36
member profile picture
Posts: 1
Credits: 0
[Donate]

My friend's sister, Sara, is facing difficulty to manage her finances. It's easier for her to opt for settlement if the creditors agree. However, we know that paying debts in full is better. However, through settlement, one can get rid of debts easily and start managing finances better. So, can you help - Is it better to settle debt or pay in full?




Paying off debts in full is always better. It helps to raise credit score. Opting for settlement can help someone to get rid of debts fast but it can reduce credit score. However, when one can't make the full payments, he/she can negotiate with the creditors and opt for settlement, and then budget well and manage finances better to raise score.

Sub: #1 posted on Fri, 11/11/2016 - 04:45

Good Nelly Good Nelly
Industry Expert
(Posts: 2825 | Credits: )

I agree with Good Nelly. Don’t worry if you’ve opted for debt settlement. Initially, your credit score will go down. But, with time it’ll get a boost only if you avoid doing those things that might hurt your credit score.

Sub: #2 posted on Mon, 11/14/2016 - 03:06

Phil Bradford Phil Bradford

(Posts: 166 | Credits: )


DebtConsolidationCare (IAPDA member)
BBB (A+) logo for DebtCC
Connect With Us
About Us | Contact Us | Privacy Policy
Copyright © 2020 DebtConsolidationCare | 301 W. 11th Street Unit E, Reno, NV, 89503, United States
* Disclosures:
  1. 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.
  2. Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
  3. Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
  4. 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.
  5. The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.
Page loaded in 0.998 seconds.