What is debt settlement and what are all your get out of debt options?

Typically some of the common ways to get out of debt are as followed.

Number one, debt snowball.

Dave Ramsay made this one popular and that’s when you pay off your lowest credit card first, then roll over the amount you were paying on that low credit card onto the next lowest and then you pay that off and you roll over the amount you were paying on that credit card onto the next lowest and you keep doing that and then your debt snowballs until it’s all paid off.

The next common way is debt consolidation.

Debt consolidation you may need to have good credit for, but that’s where you want to get a lower interest rate credit card with typically a bigger amount and then you take your high-interest credit cards, transfer your balances onto your new lower interest credit card rate, and then that lowers your payment and that helps you also pay down your credit card debt.

Typically what happens with debt consolidation option is it leaves your high-interest credit card rates open and people are actually left being able to use those high-interest credit cards again and then it leaves them further into debt with more payments and in further trouble.

So you have to be careful when using the debt consolidation option.

Option number three, filing bankruptcy.

If you are in financial hardship and you can’t afford to pay what you owe, then you may wanna consider bankruptcy.

But make sure you do your research because there are different bankruptcy chapters and they all do a little bit of a different thing.

Certain chapters of bankruptcy can wipe out all your debts, however, it’s gonna take a really big impact on your credit and it may keep you from getting a loan in the future.

Option number four, debt settlement.

If you are in financial hardship and you cannot afford to pay what you owe, you may wanna consider enrolling into a debt settlement program.

Now debt settlement can resolve your debts in 24 to 48 months and how they do that is by negotiating down your debts with your creditors on your behalf so that way you pay less than what you owe.

By setting aside a certain amount every single month and then the debt settlement program’s top negotiators negotiate down your debts with those funds that are yours in your dedicated monthly savings account.

When you enroll in a debt settlement program, your credit may take an impact.

However, once your debts are fully resolved, you can start on rebuilding your credit and start again financially.

If you get sued by one of your creditors, certain debt settlement programs offer legal help as well as a loan option so that way you don’t have to start all by yourself.

If you are in financial hardship and would like more information about debt relief or debt settlement, visit us on our website at Alleviatefinancial.com.


How Debt Relief and Debt Settlement Work?

Debt Relief and Debt Settlement is a negotiated agreement by which a creditor accepts less than the total amount owed to legally satisfy a debt.

Settlement programs typically last 24-48 months and are highly dependent on factors such as delinquency, creditor policies, the number of accounts, and the total dollar amount of the debt.

Debt settlement services have existed in some form since the advent of debt itself.

The modern industry has seen significant growth in the 21st century, largely due to the easing of lending requirements by financial institutions.

In addition, today’s borrowers are taking on significantly more debt than their parents had at a similar stage in life and are subsequently paying off that debt at a slower rate.

[ECONOMIC INQUIRY, 2013]

These large debt loads and slower payoffs, coupled with today’s high-interest rates, mean that without intervention many borrowers could be paying off these loans for decades.

While there are a multitude of interwoven causes for these trends, industry experts point to increased access to larger amounts of credit coupled with a reduction in the social stigma of being in debt.

Schedule Your Free Debt Analysis

Potential clients speak with a certified debt specialist regarding their financial situation.

The debt specialist evaluates the caller’s financial situation and suggests the optimal debt relief strategy.

Clients choosing to enroll in our debt relief program are then guided through the enrollment process.

Enroll into Our Debt Relief Program

Signed enrollment documents are processed and the new client receives a call from our team of dedicated account managers to welcome them to the program.

Account managers are available 24/7 and remain in active communication with clients throughout the program.

Negotiations & Settlement

Our talented negotiations team begins working on client accounts immediately.

When settlement offers are received they are first reviewed for accuracy and then presented to clients for approval.

This process repeats until all client accounts have been settled.

 Debts Resolved!

Your debts will be resolved in a few short years or even months so you can have a new beginning financially. 

Schedule a free consultation today for a risk-free debt assessment. The only thing you have to lose is your debt.