Many of our clients ask us questions about debt settlement companies. They see advertisements that make attractive promises of solutions to all of a consumer’s debts, but deep down we all know it sounds too good to be true. Sadly, it usually is and the consumer gets taken advantage of.
Although debt settlement companies guarantee that they can lower your debt by 50%, their repayment plans last for several years and the consumer must pay their significant fees during this time. In the end, while you may be paying a lower amount on the debt you owe, the total amount you end up paying on the debt, fees and costs included by the settlement company could far exceed what you originally owed.
Many debt settlement companies create a repayment plan that begins with your payments being applied toward the company’s fees for the first several months, with no payments being made to your creditors. As a result, you are further delinquent on your debts and interest and fees continue to accumulate. This can lead to you owing significantly more on your debt amount.
You should also be aware that when it comes to debt settlement, there are no guarantees. Creditors do not have to negotiate with debt settlement companies, nor do they have to agree to settle for less than what is owed.
If you are interested in learning about your debt settlement options from a trusted source, contact us to schedule an initial consultation. We can assist you with exploring all of your debt relief options, including discharging your debt in a Chapter 7 or Chapter 13 bankruptcy filing.
The “defender of the little guy,” DeLadurantey Law Office, LLC. handles student loan debt and bankruptcy matters (Chapter 7 and Chapter 13) in Milwaukee, South Milwaukee, West Milwaukee, and Milwaukee County, including the municipalities of Bayside, Brown Deer, Cudahy, Fox Point, Franklin, Glendale, Greendale, Greenfield, Hales Corners, Oak Creek, River Hills, Shorewood, St. Francis, Wauwatosa, West Allis, and Whitefish Bay. The firm also can handle your debt negotiations, debt relief, and mortgage loan modifications. Contact DeLadurantey Law Office, LLC by phone: (414) 377-0518. Like us on Facebook.