While the below debt settlement Q&A is substantial and is a must read before considering debt negotiation, enrolling in a credit counseling program, consolidating debt, or whether to try to avoid bankruptcy, it is by no means exhaustive. There are links at the end of some of the answers that will provide greater and often necessary details. Click the additional links to explore more in depth details about debt settlement.
You are also encouraged to ask any questions you may have by taking advantage of the “ASK Michael” feature of this site. The ask CRN feature allows you to post a question and get a dedicated answer from an experienced CRN specialist! You can read the most recent 20 questions and the answers provided on our Reader Questions page. To submit your own debt settlement, debt management or credit related question – click the “ASK Michael” tab you see in the upper right section of this page and follow the prompts. You can also speak to a CRN specialist and get direct answers to your debt settlement questions for free by dialing 800-939-8357 ext. 2.
Debt Settlement Works Best When:
- You are fully informed about how each specific debt relief option will work given your unique set of circumstances.
- You understand the rewards and the risks involved with each debt reduction method (this is especially critical when you are considering debt settlement).
- You have compared all legitimate ways to solve your debt problem and are able to make an informed decision about the best debt relief option for you.
Negotiating and Settling Debts Can Fail When:
- You are not involved in the debt settlement process to some degree.
- You rely on representations made to you rather than backing up your understanding by completing your own research.
- You blindly engage in working with a debt settlement company, or try settling on your own, without first comparing ALL other debt relief options available to you (bankruptcy for example can often be the quicker and the least costly debt relief option).
In addition to all of the debt and credit tools available to our site visitors, CRN has recently created and published the Debt Relief System. The debt relief system is a free detailed online resource helping people solve debt and credit issues. Here is a link to the debt settlement section.