It’s true that credit card settlement can relieve you of your ever increasing credit card bills. Yet, before you decide to settle your dues, it’s better to look at every other possible alternative. Almost everybody knows by now that bankruptcy may offer you with a fresh financial start. However, settlement seems to be a better option. Find out why.
Debt settlement or bankruptcy - which is better and convenient? Check out the comparison done below to know the answer.
First, shop around for a legitimate and ethical firm to get help with your credit card debt elimination. Simply enter the company's name with the word ‘complaints' into a search engine and go through what others are saying. Wise up and choose someone whom you can trust with your money. Below are 6 tips to find out a reliable and honest company.
1) Research: Shop around as many companies as you can. These days, there are many credit card debt reduction companies - some are trustworthy, most are bad. So you should cautiously shop around and compare the options you come across.
2) Ask questions: Ask anything and everything to the company that you want to know. Enquire about their fee structure, how they will settle your credit card debts, whether or not they will prepare the credit card settlement letter on your behalf, and if they will handle the collection calls from the creditors or collection agencies. If you are not satisfied with the answers they provide, get back to tip #1.
3) Check out with the BBB: Check with the Better Business Bureau (BBB) to know how many complaints have been filed against the company and how they have responded to them.
4) Get everything in writing: Make sure you get everything in writing before getting started. If you don't, then you certainly run the risk of getting ripped off! Therefore, before signing the copy of agreement, go through it carefully.
5) Disclosure requirements: According to the Federal Trade Commission (FTC), before a consumer signs up for the services of a debt settlement company, the company must give out legitimate information about the program's:
6) Follow up: See if the company provides you with reports of progress in your case. As the credit card accounts are in your name, you hold the rights to know what's going on with your accounts.
Credit card debt has become an indispensable part of everyone's life. If you can't thing of living without this plastic money, you have to bear credit card debt burden. Though settlement of credit card debt is not the only way out of this crisis, it's undoubtedly the best to help you with your crushing credit card debt.