subject: New Debt Relief Programs - Don't Pay A Penny Unless Your Debt Actually Settles [print this page] New Debt Relief Programs - Don't Pay A Penny Unless Your Debt Actually Settles
The Process of settlement is not new, this method was present in the market from a long period of time but it came under public eye after the wave of recent recession. These days, many settlement companies are present in the markets but people are afraid to take their help. The reason for this is that people are scared of fake and fraudulent companies. Since fake companies also prevail in the markets, the reputation of this business is getting bad. Actually the fake companies work for their own benefits and they simply push the person into more financial troubles rather than taking him out from the pool of debts. The fake companies charge advance service fees from their consumers. Before charging the fees, they ensure the person regarding negotiating with lenders but once they get the fees, they never bother to get in touch with them. Due to this, the bankruptcy cases increased as people found themselves more secured in filing bankruptcy. The increasing ratio of insolvency is making the financial conditions of the economy bad. To prevent the economy and citizens from future losses, the federal trade commission made some modifications in the laws of settlement.
The new laws clearly state that the settlement company is legally bound not to ask for advance service fees from their customers. It can ask for the fees only after delivering the services successfully. The new rules and regulations of settlement have restricted the customers not to pay unless and until they bring decline in the amount of their unsecured loans. This law is providing financial security to the people as now they don't have the fear of getting trapped into the net of fake and illegal companies. Due to amendments in the laws of settlement, all the fake and illegal business has been washed out from the markets and now only those firms are available that are working under the new rules and regulations.
Debt settlement is the viable method for the elimination of debts and this method is not only beneficial for borrowers but it is equally favorable for lenders as well.
If you have over $10,000 in unsecured debt it may be a wise financial decision to consider a debt settlement. Due to the recession and overwhelming amount of people in debt, creditors are having no choice but to agree to debt settlement deals.
