subject: New federal debt settlement relief laws - why credit card debt is easier to settle [print this page] New federal debt settlement relief laws - why credit card debt is easier to settle
When people were left financially helpless because of the recession around the world, they started filing for bankruptcy. It was due to the fact that people wanted to get out of the burden of debts and wanted to live a debt free life once again. Bankruptcy proved another serious blow to the economy. In order to stabilize the economy, the government introduced in the market many debt relief options. The Basic purpose of these debt settlement deals was to stable the economy and also help to the people under burden of the debt so that they can become free and live like a free bird once again. These relief options proved to be a sigh of relief for the people suffering from the credit card debts. But it was a temporary happiness as many fraudulent companies also entered the settlement industry.
These fake companies used to charge high upfront fee from the customers in advance. Afterwards, they used to call their customers and tell them that their negotiations were not successful. They never used to go to the creditors at all and they used to lie to the people about the failure of the negotiations. It used to leave the people in more helpless situation. This is the reason why people started getting away from the settlements deals.
This situation continued until and unless the new laws were introduced by FTC.
According to these laws, the settlement companies will not ask for any kind of payment or upfront charges until and unless their deal is completed. As a result of this law, all the fake companies have been flushed out of the industry. Now only reliable and true companies are working in the industry. Now there is no fear of being cheated. Moreover, as the companies are aware that they will get the payment only when they will complete the process so they try to complete the process in minimum time. It is due to these reasons that now the settlement deals have become an easier way to manage the dues rather than any other option.
Now you can apply for any relief option with a confidence of getting out of your debts in no time and you can start a debt free life all over once again.
Debt settlement is only intended for individuals and small businesses that are experiencing a financial hardship and that have at least $10,000 in unsecured debts. Before entering into a settlement program however it would be wise to speak with a debt relief specialist that can go over all you options for free.
