Debt Negotiation Advice

Has anyone tried a debt consolidation/settlement company and do they really work?

Public Comments

1. There are maybe 1 in a 1000 out there that are good. The rest are all scams out to make you even poorer. Best thing to do is contact your bank and set something up with an accounts person there. They can help set up payment plans and budgets that you can live by.
2. They work according to my son in the real estate business, however he says if you do it, it will ruin you credit for two years completly and then you must re build there after. Really check into it and dont believe everything they tell you.
3. Stay away from them...you will be tied into repaying for YEARS. You will also end up paying a heck of a lot more than your original debt.
4. No I have never tried one, however I did sit on a jury for a civil case once and the so-called debt consolidation company was a crook. Also they charge a fee, so think about it. The money that you pay to these companies can be used towards a bill.
5. Yes, there are reputable companies that can help you. There are different types of debt consolidation loans and it depends on your circumstances as to which would be best for you. It would really pay you to do your own research before doing this. This website has lots of information and advice, and links you can go to for help. I hope you find your answer. Good luck!
6. do NOT for the love of god, ever use a debt settlement agency...it will not be good in the end. they have hidden fees that they will never tell you about, and if you call to ask about these fees, you can never talk to anyone who knows what your talking about. it WILL be a complete disaster.
7. If you cannot pay your debt, and you can't negotiate with your creditors directly, then go to a credit counseling site - not a settlement company. The settlement company will take your money, but they won't pay your creditors immediately. Your payments will go into an interest bearing account. When enough accrues to pay one or more of your debts, that's when they'll give them your money. In the meantime, the settlement company will tell you not to pay your bills, while they try to arrange an agreement. Your creditors will continue to come after you for the money, and they do not have to agree to any settlement that the company proposes. A credit counseling agency will pay your creditors monthly, with the money you send to them. Please note that using credit counseling could negatively affect the way future/current creditors see you, but if you have no other option, it's something to check into. Here is a legimate credit counseling organization: http://www.cccsintl.org/