Debt settlement is perfectly legal and a way for individuals to alleviate themselves of a lot of the stress that their indebtedness has caused. There are things to consider while deciding whether to file a claim, and there are tricks that can be performed by agencies to procure a payment, but in general the company does everything it can to bring a settlement to an agreeable conclusion. Section 31 of the F.A.F.S. Act permits companies who provide payment services to be compensated less than fifty percent of the amount they acquire from a customer. This is normally the law with most states; however, debt settlement agencies have found ways around regulations in some states, and tend to offer more than fifty percent settlements.

So, if you’re tired of being hounded by your creditors, struggling to make ends meet, and experiencing the stress of thinking about your financial situation every morning, it might be time to look at a professional debt counselor. They can find you a reputable agency to work with, set up a trust account, and eventually eliminate or eliminate your debt for you. Most people are ignorant of the help that can be offered, and the benefits that can offer. Settlement agencies can work with your creditors to reduce your debt to as much as seventy-five percent, although it will not be as effective as someone working with the government to reduce a large part of your debt, as the government is legally entitled to discharge debts.

Settlement negotiators are supervised, licensed, and bonded, but will see to the actual process throughout, dealing with creditors, collection agents, and law enforcement. In most cases you will be making payments to the trust fund, and the settlement company will distribute this money to your creditors on a schedule as agreed. For the benefits, and lower fees, it’s a great alternative to bankruptcy, and the payment plans are affordable and flexible. Credit reports won’t be marked as settled, but the marks on credit can be easily removed. As soon as the debt is paid off, there will be a zero balance, and the account closed. The work is simple, and the Agency does everything it can to help.