Debt Relief Services

Regardless of how well you manage your financial affairs, you may have to turn to a credit repair company like Debt Relief Services if you get into trouble with your debts. Debt Relief Services is one of the few companies that does not receive fees from credit card companies and others because it believes that it should earn fees only from those people with whom they work. Enrollment in its program will not appear on your credit report, unlike bankruptcy or a debt consolidation loan.

Significance

Many people who get into financial trouble believe that bankruptcy is the only answer to their problems. Unfortunately, once they declare bankruptcy, that fact will appear on their credit reports for about ten years. Regardless of how well they conduct their affairs following declaration, it is highly unlikely they will receive any credit. By working with Debt Relief Services, a person will benefit from the possible reduction of their debts. He will pay them off as quickly as his resources allow. And, the company will instruct him about how he can improve his credit scores and qualify for loans in the future.

Function

The first consultation with Debt Relief Services is free, and the company's Debt Analyst assigned to you will layout the course of action most appropriate for your financial circumstances. Most people have found that by associating with Debt Relief Services, they develop the confidence to continue the program until it is successfully concluded. All programs involve a combination of the company's negotiating settlements with your various creditors to an amount that you can comfortably pay over 24 to 36 months, and continuing advice as to improving your credit scores and returning you to a viable financial position.

Features

Debt Relief Services is especially proficient in negotiating with your creditors to reduce the amount that you owe, particularly if you have been contemplating bankruptcy. Debt Relief Services has found from experience that creditors would prefer negotiating a lower settlement rather than have a customer file bankruptcy, whereby it would receive nothing.

Warning

There are some drawbacks to having Debt Relief Services negotiate reduction in what you owe. The federal government considers any reduction as taxable income. However, if you continue suffering financial hardship, the taxes that you owe can be reduced or delayed. Also, your credit score will state that you are behind on your payments until the debts are satisfied.

Costs

Debt Relief Services charges a fee of 14 percent of the amount of the outstanding debt that it manages for you. Their fees can be paid in a lump sum or monthly. Most customers of the company find that the amount that their debts are reduced, and the services that the company provide, more than offset the fees they have paid.

Resources

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