Debt Settlement
Debt settlement is a unique approach to debt consolidation and debt settlement companies will work directly with with you to plan a regular repayment schedule to fit within your budget. They will establish a timeline of when they expect to eliminate your debt.
Most reputable debt settlement companies will base your payment on a 50% settlement plus any fees they may charge. If you make repayments consistently, you can reasonably assume that you will be debt free at the end of your individual program. Most debt settlement programs are designed around 24 to 36 months in length, dependent upon the budget you and your advisor have decided upon. If you choose debt settlement as an option, all of your accounts will fall behind however once your accounts are settled, your creditors will report the debt as settled with a ZERO balance, and you are no longer liable for any forgiven amounts. It's important to understand that the agency you work with does not manage your money for you, so they do not have to report to the credit reporting companies. No one will know that you are using debt settlement services except for the agency and the creditors it handles. While debt settlement will have an initial negative impact on your credit, it will save you the most money over time compared to other methods of consolidation. For many it is the quickest route to becoming debt free. |
The debt settlement
programs will vary widely based on your
unique and individual situations so the final outcome will
differ from person to person and will determine your
unique debt settlement plan.
Queensland - New South Wales - Victoria -
Western Australia - South Australia - Tasmania - Northern
Territory
Brisbane - Sydney - Melbourne - Perth - Adelaide - Hobart -
Darwin
Important note: The information on this and all pages on this website contains a summary of basic information on debt and debt consolidation issues. It is not a substitute for legal advice. Some provisions of the law referred to may have important exceptions or qualifications. This document may not contain all of the information about the law or the exceptions and qualifications that are relevant to your circumstances. You will need a qualified professional advisor to take into account your particular circumstances and to tell you how the law applies to you.