The cat is out of the bag and debt settlement companies are facing adaptation or extinction. Debt settlement can be a tedious process that lasts from a year to four or more depending on the extent of the debt load.
For the most part these settlement companies will explain the process along with the pros and cons of a debt settlement.
-Settle debt for less than the amount owed
-Get out of debt faster than paying it all off
-Avoid bankruptcy if you are able to afford the process and have a smooth ride
-Once you are done you can reestablish your credit quicker
So really the benefit of the program lies in a quicker debt relief option and the avoidance of having bankruptcy on your record:
-hurts credit badly for duration of the program
-you might get sued and get a judgment on your record (maybe even wage garnishment)
-you will get collector calls
-you will have to pay taxes on the debt forgiven
There are always negatives that come with the pluses and every individual will have to determine if the pluses are worth more to them than the possible negative consequence.
However, negotiating the debt on your own with a do it yourself program will definitely have one major benefit, no exorbitant fees (such as 15% of total debt), along with the bonus that creditors prefer to work with you directly rather than a debt settlement company which might decrease the chances of you getting sued significantly.
Do it yourself debt settlement is led by a passion, or hatred rather, towards eliminating debt in an efficient, affordable manner. This is all about bringing about an awareness that the consumers can eliminate their own debts without hiring a very expensive debt settlement company.
But how can it be done?
By choosing the best possible educational portal that provides the most convenient system and make sure that the consumer can adhere to.
Find a debt settlement guide that will include a system rather than just a book, audio CD’s, and simple tables or charts. Those can become tedious and the debtor, already having enough on their plate, might give up thinking it’s too hard and just go ahead and sign up with a debt settlement company after just wasting their money on a do it yourself debt settlement course.
Consumers do not need a course or a cheap e-book put together from free material already found on the web. You need to stay away from those and do enough research to make sure the system you purchase will have enough support to be able to guide you through the entire process to finish.
One thing is for certain: soon consumers will never have to spend any more money on these debt settlement companies and debtors that were not able to afford that option before, or didn’t qualify will soon have the best agent working for them: themselves.