Debt settlement sure seems too good to be true. Debt settlement programs offer debtors the chance to become completely debt free in a short amount of time—usually only a year or two. They also claim to be able to settle your debts for a mere fraction of the cost, so that you pay no upfront fees until your debt settled. But at what cost do these debt reduction programs come, and in the end, are they worth it?

The first disadvantage of a debt settlement program is that it can only help you with unsecured debts. Unsecured debts include credit cards, student loans, medical bills, dental bills and utility bills among others. Debt settlement companies cannot, however, debt help directly help you deal with secured loans, such as if your debt surpasses the equity that you have in your home. And although unsecured debts can be settled, it is worth noting that not everyone’s financial situation will qualify for debt settlement. Candidates for debt settlement have accumulated over $5000 in unsecured debts and are currently unable to make the minimum payments.

Perhaps the main drawback from debt settlement is the fact that it will have a negative effect on your credit. The length to which it will affect your credit is dependant upon your current credit score, the depth and breadth of your debt, and the amount of time that the debt settlement process takes. The reason that your credit score is affected is because you will stop making any payments to your creditors during this process. Instead, you will pay one low payment to the debt settlement company, which will be used for the pay-off that is agreed upon.

On rare occasions, your creditors may file suit against you during the credit card debt settlement process. It is important to recognize this as a possibility, but also realize that this does not occur often. Creditors would much rather negotiate a deal to get paid, rather than incur the expenses of legal action.

There are a few disadvantages to debt negotiation, but in the long run, the benefits that you can reap from a debt settlement company outweigh any negatives. Our debt settlement program really can help you achieve debt relief. Our services specifically address any issues you have with unsecured debts, but our low monthly payment plan will free up your budget and enable you to continue paying your other debts, such as your mortgage. Although the process may have a negative impact on your credit score, the end result—you, debt free—will actually help you build a good credit score.

The disadvantages of enrolling in a credit card debt help program are minimal in comparison to the vast benefits. Our debt settlement experts can negotiate a complete payment for your debt that is 50% or less than what you owe. Please take a moment to fill out our free, no obligation debt settlement form, and see how we can help you eliminate your debt in a matter of months.

List of States where we offer debt settlement

• Alaska AK

  Arkansas AR

  Alabama AL

  Arizona AZ

  California CA

  Connecticut CT

  Delaware DE

  District of Columbia DC

  Florida FL

  Idaho ID

  Illinois IL

  Indiana IN

  Iowa IA

  Kansas KS

  Kentucky KY

• Maine ME

  Maryland MD

  Massachusetts MA

  Michigan MI

  Minnesota MN

  Mississippi MS

  Missouri MO

  Montana MT

  Nebraska NE

  New Hampshire NH

  New Jersey NJ

  New Mexico NM

  Nevada NV

  New York NY

  North Dakota ND

• Ohio OH

  Oklahoma OK

  Oregon OR

  Pennsylvania PA

  Rhode Island RI

  South Dakota SD

  Tennessee TN

  Texas TX

  Utah UT

  Vermont VT

  Virginia VA

  Washington WA

  West Virginia WV

  Wisconsin WI

  Wyoming WY