Debt Settlement Laws – How FTC Rules Reduce Debt Settlement Fees For Americans

american debt settlement
by US Embassy New Zealand

Debt Settlement Laws – How FTC Rules Reduce Debt Settlement Fees For Americans

People with debt have many options they can get rid of their debt, with a payment plan, filing for bankruptcy or using a debt relief option. Any of those methods can get them to get rid of debt, but which one is best?

Of course, having a payment plan would be the first thing you think about when you are in debt, but some people cannot afford a payment plan because they simply don’t have enough money each month to support their needs and the amount they pay. This is why most of them use bankruptcy or other debt relief methods. Bankruptcy is not really a good solution because it can cause permanent damage to your financials. If you want to make sure that you get rid of your debt, you can use bankruptcy but there are some disadvantages you need to think about: having your assets sold, having it announced in the local newspaper and destroying your credit score completely. These are only some of the disadvantages that you will face after filing for bankruptcy.

If you choose to go for debt settlement, you can be sure that it is one of the safest and easiest methods to get rid of your debt. You can get amazing reductions, from 40% to up to 70%. So if your debt is ten thousand dollars your remaining sum might get reduced to six thousand or even four thousand dollars. That will probably make things easier to pay with your current situation. If you worry about the upfront fee, you should know that the government eliminated it. In June 2010, the FTC announced the fact that the fee was gone and people were only supposed to pay when they got their reduction. So there’s no need to worry about fake debt settlement companies or companies that will run away with your money; if they don’t do their jobs, they don’t get paid.

Since the new laws have made the situation much better now, you can start thinking about that debt settlement company you wanted to hire to help you get rid of your debt.

There’s no need to stress about debt anymore when there is such a good option available.

Debt settlement is a viable alternative to filing bankruptcy. Most consumers are able to eliminate at least 60% of their unsecured debt while avoiding many of the negative consequences with filing bankruptcy. If you are over $ 10k in unsecured debt you will be eligible for debt settlement. To locate legitimate debt settlement companies in your state check out the following link:

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