Credit Counseling Agency Or Debt Settlement Company?

counseling debt settlement

Credit Counseling Agency or Debt Settlement Company? There is no worry about choosing followed this article.


Credit Counseling Agency: Credit counseling agencies don’t actually aim at elimination of debt. These agencies help you in analyzing your situation based on the income source that you have and the expenditure habits that you follow. The counseling agencies will help you to build up a budget. This budget will aim at excluding all the unnecessary expenditures that you have so that you can use the money that you save in repaying the debts that you have. These agencies will at maximum contact the creditors and ask them to reduce the rate of interest and increase the time for repayment so that you can effectively repay the entire amount of debt that you have. The agencies will come up with several solutions that suits you the best and advise you how to go ahead with the repayment of your debts.

Debt Settlement Company: A debt settlement company on the contrary will aim at eliminating a certain percentage of the debt that you have. A settlement company has the complete knowledge of the banking system that exists in the country and uses the loopholes present in the system to get the best deal for you. These companies have professional negotiators who negotiate with the creditors for elimination of the debt. The negotiators use the threat of bankruptcy to force the creditors to agree to a deal which is in best interest of the consumers.

They know that the creditors are backed by govt. policies and will therefore manage to cover up the loss that they bear because of the settlement deal.


Now, if you belong to the group who think it to be ethical to repay the debts in full, credit counseling is the best option for you. However, if you want to eliminate your debt by a certain percentage and get debt relief then a debt settlement company is what you need. Finally, it is completely ethical to eliminate a certain percentage of the debt because you pay way too much against what you actually borrow-thanks to the high rates of interest! It is suggested that you go for debt settlement instead of credit counseling!


Debt settlement is a viable option to filing bankruptcy and is becoming increasingly popular amongst Americans with over k in unsecured debt. Creditors are ready to negotiate. You can literally eliminate 50% of your unsecured debt with a settlement. Check out the following link to locate legitimate debt help in your state.

Free Debt Help


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