What Does a Debt Relief Company Do?
A large amount of debt might seem like an overwhelming task to pay off alone. Debt relief companies can assist you in managing your debt and overcoming the hurdles towards paying off your debt. In many cases, these debt relief companies are able to negotiate with debt collection agencies to reduce the amount you owe. Using a debt settlement strategy, they may be able to find an avenue for you to pay less than you owe.
This article will go over several of the top debt relief companies on the market today, and help guide you towards find the one that fits your financial needs best.
Tips for Choosing the Right Debt Relief Company
1. Consider The Minimum Debt Requirements
Many debt settlement companies have different minimum qualifying debt requirements as well as requirements for different types of debt. Be sure to review each company’s list of requirements carefully before settling on a particular company.
2. Compare Fees
Not every debt consolidation company will be right for you. Taking the time to compare multiple companies can ensure you are getting the best deal for you. Review each company’s fees that will apply to your own situation, or request information from the company on their fee structure.
3. Check Review Sites
Many companies websites will showcase their outstanding traits while possibly hiding any skeletons in the closet. Check third-party review sites to get a clear view of customer’s experience doing business with each debt relief company.
Here are Our Top Choices for Debt Relief Companies
National Debt Relief
National Debt Relief is a debt settlement company that was founded in 2009 with the mission of helping consumers get out of debt. The company is incredibly transparent about its process and results, and they share examples of what they’ve done for past clients on their website.
National Debt Relief helps consumers begin the process by offering a free consultation with one of their debt counselors. During this consultation, you will have the option to explain your situation and talk over potential solutions, including using National Debt Relief for debt settlement.
If you decide to enroll in the debt settlement program, National Debt Relief will help you set aside a specific amount of money in a separate account each month. This money will be used to settle your debts for less than what you owe. National Debt Relief will also negotiate with your creditors on your behalf to reach a settlement agreement.
There are no upfront fees to use National Debt Relief’s debt settlement program. However, you will typically pay between 15% and 25% of the total debt enrolled in the program by the time your debts are settled. Programs from this firm typically last for 24 to 48 months.
National Debt Relief is a reputable company with a good track record of success. However, it’s important to remember that debt settlement is not a magic bullet. It’s a serious financial decision that should only be made after careful consideration.
If you’re considering debt settlement, I recommend that you speak with a qualified financial advisor to discuss the pros and cons of this option. You can also read reviews of National Debt Relief and other debt settlement companies before making a decision.
Pros
- Experienced
- A+ Better Business Bureau Rating
- 4.6 Star Rating on Investopedia
- No Upfront Fees
- Excellent customer service
Cons:
- Higher minimum enrollment requirement of $7,500 in qualifying debt
- Does Not Handle All Types of Debt
New Era Debt Solutions
New Era Debt Solutions is a debt settlement company that has been in business for over 20 years. They have helped clients settle over $250 million in debt, and they do not charge any upfront or monthly fees. Instead, they only charge performance-based fees, which are only incurred when you see results.
New Era Debt Solutions works by having their clients save money for debt settlement in a separate account. In the meantime, they negotiate with your creditors to help you pay less than what you owe.
According to the company, their clients typically settle their debts and become debt-free after an average of 2-3 years. They also claim to be able to expunge over 50% of debt owed, and they lower both the balance and interest rates of debts.
Pros
- Over 20 years of experience
- A+ BBB Rating• 4.0 Star Rating on Investopedia
- No Upfront Fees
- Excellent customer service
Cons:
- Not available in all 50 states
- Fees are not disclosed for debt settlement
Freedom Debt Relief
Freedom Debt Relief is a debt settlement company that has been in business since 2002. The company employs over 2,000 highly trained debt experts and professionals, and they offer a free consultation to help you understand your debt situation and discuss your options.
If you decide to enroll in Freedom Debt Relief’s debt settlement program, you will be asked to save a specific amount of money each month in a separate account. This money will be used to negotiate settlements with your creditors on your behalf. Freedom Debt Relief does not charge any upfront fees, and you will only pay a percentage of the debt that is settled once your program is complete.
One of the things that sets Freedom Debt Relief apart from other debt settlement companies is its interactive client dashboard. This dashboard allows you to track your progress, see how much you have saved, and view any updates from Freedom Debt Relief about your case.
Freedom Debt Relief cannot guarantee that it will be able to settle your debts, but the company has a proven track record of success. Many of Freedom Debt Relief’s clients have been able to pay significantly less than they originally owed, and they have improved their credit scores as a result.
If you are considering debt settlement, Freedom Debt Relief is a reputable company with a good track record. However, it’s important to remember that debt settlement is not a magic bullet. It’s a serious financial decision that should only be made after careful consideration.
Pros:
- Free consultation with no upfront fees
- A+ Better Business Bureau rating
- 7 Days a week customer service
- You can track your progress with their client dashboard
Cons:
• Not the most transparent results reporting
Accredited Debt Relief
Accredited Debt Relief is a debt settlement company that has been in business since 2011. The company is accredited by the AFCC, and it has a proven track record of success. Accredited Debt Relief boasts an array of results on its website, with plenty of former customers settling their debts for as little as 50% of what they originally owed.
Accredited Debt Relief starts potential clients with a free consultation with a certified debt specialist. During this consultation, you will have the option to explain your situation and talk over potential solutions, including using Accredited Debt Relief for debt settlement.
Pros:
- Proven track record of results
- Free consultation from a Certified Debt Specialist
Cons:
- Minimum of $10,000 of qualifying debt
