Recently I wrote a warning post for Oklahoma consumers called “The Truth About Debt Settlement Companies.” I talked about the flourishing “debt settlement” industry which is filled with unscrupulous companies whose standard practice seems to be lying about what they can actually do for consumers and misrepresenting how high their fees really are. The federal government is actively investigating many and suing some of these debt settlement companies for falsely promising easy debt relief that left many consumers deeper in debt and sometimes forced them to file for bankruptcy protection.
A recent article from SmartMoney.com discussed five more reasons that you should avoid working with debt settlement companies:
- They charge extremely high fees,
- Many of your creditors will refuse to work with them,
- Your chances of getting sued increase,
- Your credit will likely end up in worse shape, and
- You have better options available.
Of course, the debt settlement companies will not tell you these things. Why should they? They’re more interested in signing you up and getting your money than helping you get out of debt an d regain your financial freedom.
Be sure to also read my recent post “The Truth About Debt Settlement Companies in Oklahoma.”
If you are struggling with debt problems and being harrassed by bill collectors and would like to know more about how bankruptcy may be able to help you, contact me today by phone or email to schedule a FREE initial consultation. I would count it a privilege to be able to visit with you in a relaxed and confidential environment where I’ll answer all of your questions in plain English and give you the straight scoop on the pros and cons of bankruptcy as related to your specific situation.
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Debt settlement is not right for everyone, but for an appropriate financial profile, it can be the least expensive and fastest alternative to bankruptcy with the shortest long-term effect on your own credit viability.
For more information, check out: http://www.tascsite.org
Brian, I’m glad to see that there is an organization that proclaims the mission of promoting good practice within the debt settlement industry and the protection of consumer debtors’ interests. I wish TASC much success in accomplishing its stated goals because the debt settlement industry is in dire need of a good house-cleaning at this point in time.
It is an undeniable fact that unscrupulous activity is rampant within the debt settlement industry. It seems that each week brings a new study revealing that it is common practice for debt settlement companies to blatantly misrepresent facts to consumers. Many debt settlement companies ignore their customers’ best interest as they routinely exaggerate their ability to help consumers while making no mention of the common yet unexpected harms experienced by many consumers who enroll in their debt settlement plans.