What are the costs (fees) of using a debt reduction or debt consolidation service?
Debt settlement fees constitute 15% to 20% of your debt. If your total enrolled debt amount is $50,000, then you may have to pay between $7500 and $10,000 as settlement fee.
If you're planning to take out a debt consolidation loan, then you have to pay an APR of 18%. The average interest rate varies between 8.31% and 28%.