5 Reasons You Need to Compare Debt Consolidation Options

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5 Reasons You Need to Compare Debt Consolidation Options

Not all debt consolidation options are created equally.  Many of the companies that you see advertise all over the internet who claim they can reduce your balances can create more harm than good.  Their strategies may put you at risk of adverse collection activities like bank garnishment and wage garnishment, and because they are not attorneys, they can do nothing to protect your rights.  In the meantime, while you have gone to them to save you money, their high back end fees may be nearly as much as the money they are “saving you.”  So lets compare the differences:

 

They Charge More, and they Get Paid No Matter What.  We Get Paid Only if We Save You Money

Compare your debt consolidation options for your out-of-pocket for the professional.  Many of the national debt consolidation companies charge a fee based on the total amount of your debt.  The problem with that structure is that “the house always win,” meaning they have no incentive to maximize what they save you because they get paid regardless of how successful they are.  And these fees are high.  Many debt consolidation companies charge, at minimum, 20-30% of your total debt balance in fees. Not only is the fee percentage much higher, it often doesn’t account for the entire amount of fees a consumer might pay to use their services. For example, Freedom Debt Relief also requires a set-up fee and a monthly service fee. Creditor’s Relief has an significant enrollment fee, as well as a monthly maintenance fee and possible “restructuring” fees.

In contrast, our fee are set up so that we only get paid if we have saved you money.  For with at least $10,000 in qualifying debt, there are no legal fees or costs up front.

We can give you legal advice and protect your interests when we work out a Settlement Agreement.  They Can’t.

The Settlement Agreement is Important.  That is the deal that is reached with a creditor when a balance is settled.  It is important that the agreement is in righting, and that the terms protect your interests to get the deal that you bargained for. These agreements have legal consequences, so don’t you think its important that they are reviewed and negotiated by an attorney?

National debt consolidation companies can provide you with a settlement letter or agreement that has been drafted by your creditor, but they cannot offer advice as to the effects of the terms.

We are Florida licensed attorneys.  Our Debt Fighters can draft and/or review any settlement agreements that may be reached with your creditor to ensure that is the last you will have to deal with the debt.

Since our Debt Fighters are Florida Bar licensed attorneys, not only can we offer legal advice, we can also assist you in any current or pending collection lawsuits that your creditors may initiate. If your creditor has already initiated a lawsuit, or if a suit is filed during your program payments, we will enter appearance and help you to avoid a judgment.

We can help if you have been sued for a debt.  They Can’t.

Debt consolidation companies don’t like to answer one important question – what happens if you have already been sued, or if you get sued in the future.  This part of debt negotiation is critical.  An unchecked lawsuit can lead to a default judgment, and ultimately to wage and bank account garnishment.

National debt consolidation companies are not licensed to practice law.  They can’t represent you if you get sued.  While some of the companies may claim to have a “relationship” with a law firm, don’t you think that its important that you choose and know the lawyers representing you?  And what about the added fees.

We are licensed attorneys.  We handle debt collection lawsuits routinely.  Our fees INCLUDE legal representation.

We Protect Your Consumer Rights.  They Can’t.

Even when you owe a debt, you have consumer rights where debt collectors have to treat you with respect and be honest about your debts.  You may not be surprised that these laws are violated routinely.  What might surprise you is that when these laws are violated, you may be entitled to compensation.  Often, your recovery from enforcing these laws can be a valuable tool to resolve your debts.

Our team of Debt Fighters includes our collection harassment team who can help to identify and resolve any outstanding collection harassment violations that you may be receiving. This might include false credit reporting, harassing calls to friends/family/work or contacting you after they have received notice you are represented.

We Can Stop the Collection Calls, and Enforce Your Rights if the calls Don’t Stop.

Notice of our representation will stop your creditors from being allowed to contact you directly. No more calls at all hours of the day, we can handle that for you if you are enrolled in our debt consolidation program.

The national debt consolidation companies might reach out to your creditors, however, they do not have any legal force to stop your creditors from being able to contact you directly. Therefore, you may still be receiving uncomfortable and harassing phone calls even while enrolled in a program with one of the national consolidation companies.

While the national debt consolidation companies can dispute a debt on your behalf, they cannot pursue any legal remedies available to you if your creditor does not properly respond to the dispute. In order to resolve any outstanding credit reporting violations, you will need the assistance of a licensed attorney.

Want to Learn More?

Contact us today for a free consultation to compare your debt consolidation options.  There is no cost to review your debts with a qualified attorney to see what a debt consolidation plan would look like for you.

 

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