Debt Settlement Companies - Are They Worth the Money?

Debt settlement companies get paid by collecting a percentage of the debt that they are able to eliminate by negotiating with your creditors. The top performing debt settlement companies will be able to eliminate 60% of your unsecured debt on average. It is possible for a consumer to try and negotiate a debt settlement by themselves however a debt company has a significant advantage over you.

They have established relationships with all the major creditors and the best debt settlement companies are well worth the money especially since you don't have to pay until they settle your debt for an acceptable amount. It is critical however that you find the top performing companies if you want to get your money's worth.

The top performing debt companies will have a performance based fee system meaning that they get paid a percentage of the debt that they are able to eliminate. Make sure their fee is based on the debt they are able to eliminate not the entire debt balance. Some shady companies will try to make their fee based on the entire debt balance which will usually almost double their fee. Also, never pay an upfront fee. If a company tries to collect an upfront fee it is probably a loose scam and should be avoided at all cost.

Legitimate debt settlement companies will be able to eliminate at least 60% of your unsecured debt. 60% is just the average and cases in the 70-90% are not at all uncommon in this market. The only real negative aspect of debt elimination is that is will lower your credit score at least initially. Most people are more than willing to accept a lower credit score to be able to eliminate over 60% of their unsecured debt.

If you want to get out of debt and hire a debt settlement company for debt negotiation then I have an important piece of advice. Do Not go directly to a particular debt settlement company but rather first go to a debt relief network who is affiliated with several legitimate debt companies. In order to be in the debt relief network, the debt settlement companies must prove a track record of successfully negotiating and eliminating debt. They must also pass an ethical standards test. Going through a debt relief network will ensure that the debt company you are provided with is a legitimate and respected company.

FreeDebtSettlementAdvice.com is one of the largest and most respected debt relief networks on the marketplace today. To find a debt settlement company through FreeDebtSettlementAdvice.com check out the following link: