For many people who are drowning in debt, the services of a debt settlement company may come as a solution, but there might be some risks involved. With hundreds and thousands of people burdened by credit card debt, many con artists are also coming up with debt settlement frauds that may further hurt the financial situation of debtors. In order to protect yourself from the cunning and deceitful devices of scammers, here are some ways to choose a debt settlement company.
The best protection from debt settlement fraud is to get informed. It is essential to do some research on the credibility of companies before using their services. Do not rush into anything because you may end up having more debt rather than repaying it. Make sure that the company is accredited by a credible organization of debt settlement companies. Legal companies should be members of such organizations as it means they are given the right to operate. If the company is not accredited, it is a sign of scam.
Another thing to take into account is the cost of service offered by the company. Are the programs offered by the company affordable in view of your monthly budget? To find out, you may want to talk to one of their representatives for consultation. Debt settlement companies usually offer free-of-charge consultations. You may be asked how much you are willing to pay every month, and they will offer you programs that may work in your case.
Does the Company Offer a Guarantee?
A debt settlement company should stick to its promises. Therefore, it should not require a payment if its services fail to provide you the promised result. Or, the company should be able to offer a refund. Do not get yourself into trouble by using the service of an inefficient company that cannot guarantee anything.
Investigate if the Negotiators are Certified
Check if the company employs credible debt negotiators who are licensed to practice their craft. One of the signs of a scam includes not having a team of reliable debt negotiators. Do not be fooled by the promises of the company. Make sure that they are indeed skilled professionals who are trained to negotiate with creditors.
Check for Testimonials
Find out what others are thinking. There are many forums over the Internet that can help you find out which debt settlement companies are worth working with. Forums will also expose companies that are considered ill-reputed. Take time to do research. In the long run, the effort will definitely pay off.
Get in Touch with a Financial Consultant
If you do not have time to research on debt settlement companies, you may want to try the services of a financial consultant. These people usually have in-depth information regarding the various debt settlement companies. The financial consultant may also help you manage your debts. Itís worth giving it a try because these trained individuals have better access to the best financial deals around.