If you’re overwhelmed by mounting credit card debt, a number of options can provide a fresh start. One solution is called debt relief, also known as debt settlement, which involves working with your creditors to settle your debt for less than what you owe them. While you can certainly attempt to do this yourself, it may behoove you to have experienced negotiators working on your behalf. The nation’s leader in debt resolution is Freedom Debt Relief (FDR), which started in 2002. But is Freedom Debt Relief legit? It definitely is, but first you should understand what debt relief can offer.
What is Debt Relief?
Debt relief involves working with your creditors — typically credit card issuers — to settle each of your debts for less than the total amount due. You’ll pay that amount, which you must agree upon, one time and in full.
Why would your creditors agree to this? Basically because, something is better than nothing. After all, your other recourse is likely bankruptcy. Creditors understand that if you file that, they may get nothing.
In addition to outstanding credit card balances, the types of debt that qualify for debt settlement include, but aren’t limited to, medical debt, private student loans, and delinquent rent payments. Do note that secured debt, such as car loans and mortgages, cannot be settled.
Benefits of Debt Relief
There are a number of advantages to using debt relief to solve your debt woes. Those include:
- Relief from debt and faster debt repayment. The solution offers an opportunity to pay less than the amount owed. Further, the process is often faster than other means, such as bankruptcy and credit counseling. With debt relief, you’re looking at between two and four years to a fresh start.
- Your debt will escape collections or “charge off.” Once an agreement has been reached, those bothersome calls from your creditors and debt collectors will cease.
- Avoid bankruptcy. When you’re in a lot of debt, the choice will often be between debt settlement and bankruptcy, which can remain on your credit reports for between seven and 10 years, depending upon whether it’s Chapter 7 or 13.
- No lawsuits. Debt settlement can help you avoid being sued by your creditors and what could be a protracted, contentious proceedings. Most creditors want to avoid going to court as well.
What is Freedom Debt Relief?
In the debt relief sector, the key is to get the right company to help you. Unfortunately, it does have its share of unscrupulous actors. That’s where Freedom Debt Relief shines.
For 22 years, FDR has provided debt solutions and education to help millions of people resolve debt, accrue savings, and gain financial freedom. Not only does the company have a strong track record, but it prides itself on treating every customer with the empathy, respect, and understanding they deserve.
Freedom Debt Relief offers personalized solutions to help you get where you want to go and teaches you how to confidently manage your finances. It also changes how you think about your financial future.
The company, a founding member of the American Association for Debt Resolution, has resolved more than $18 billion in debt, and settled over four million accounts.
Summary
Debt relief is not for everyone and should only be used if your debt is reasonably insurmountable. It’s true that your credit will be damaged in the short term, and a settlement is not guaranteed. However, if you do choose that route, chances are high that you’ll get a fresh financial start. And you may want to consider FDR to help you pull it off.