• One Low Monthly Payment Immediately
• Debt Relief in 12-36 Months
• Reduce total unsecured debts up to 60%
• Avoid CCCS Programs and Bankruptcy!
• Get Help With Creditor Harassment
• No Credit Check
• No Home Ownership required
• We work for you not your creditors!
• Money Back Guarantee
• Local Accountability
• Full Disclosure
• Total Transparency

Debt Settlement

Debt settlement is an aggressive method of debt reduction. Debt Settlement depends on the negotiation of mutually agreeable settlements between the consumers and the creditors. In order to successfully negotiate you need to withhold the one thing the creditors want the most, the payment.

How debt settlement negotiation is effective is using the non-payment of your regularly monthly installments and leverage that against a future lump sum settlement. Instead of continually paying your payments without reducing your debt, you pay one payment into a Trust Account. The Trust Account is in your name and under your control. The payment for your debt is generally several hundred dollars less each month than what your payments are to maintain the debt. The result for clients is an increase in monthly cash flow which grants an immediate relief from monthly financial stressors. The target number of debt that will be paid out is an industry average of 40% or less than your total unsecured debt owed. While you make your payments into the Trust Account, your debt settlement company sends out a number of communications that let your creditors know you now have representation in regards to settling your debt.

Quick Fact Sheet-

• Negotiate your debt to .40 cents on the dollar or less
• Repayment plan for your unsecured debt
• Be debt free in 12, 24 or 36 months
• Avoid Bankruptcy
• Impact your credit with the least amount of damage
• Pay your creditors directly
• Not a Third Party Intervention 
• Home ownership not required
• Restore order and peace to your debt free process
• No upfront fees
• Fees built into the debt repayment program
• This is a private process
• Legal and legitimate debt resolution process

Example of Debt Settlement

Total unsecured debt owed is negotiated down to 40 cents on the dollar.
$25,000. principal balance is reduced to $10,000. principal balance = 40%.

This is a 3 Year example of a debt paid back utilizing Debt Settlement.

Note the Grand Total in the Debt Settlement Column can be reduced by 2 variable factors:

#1 Paying the debt quicker than the 3 years in the above example.

#2 Some creditors in this recession are accepting settlements that are lower than 40% to 60% usual range, situation specific examples are in the 25% to 30% range. I counsel my clients to anticipate the usual range and when we get accounts settled for less consider it a special blessing.

#3 The rational for a 43 year impact on your credit report for paying the minimum on your unsecured debts, is that your debt to income ratio can be a major limit if not the limit for access to credit in the future.  No lender wants to loan if you are currently indebted beyond your debt to income ratio.

What do I do next?

• Chose a repayment plan; 12, 24 or 36 months
• Set up a Trust Account
• Trust Account is in your name and under your control
• Fees are included with monthly payments to Trust Account
• Approve all Settlement agreements in writing
• Able to put the draft on hold

What does the settlement company do for me?

• You are assigned a Debt Settlement Coach and given a Settlement Team
• Limited Power of Attorney Letters are sent to you
• You sign for Limited Power of Attorney for us to negotiate your debt
• We send you Cease and Desist Letters for you to sign and send to your creditors
• The Cease and Desist Letters ask that your creditors no longer call you
• We begin the Settlement Process
• You send in your one monthly payment to your Trust Account
• At the end of the term, you are DEBT FREE!
• You receive a 0 Balance Letter/ Settled Account from each Creditor to forward to your three credit reporting agencies.

Below is a summary of an article posted by TASC The Association of Settlement Companies.
Survey Results that were shared at a FTC, Federal Trade Commission Workshop on Debt Settlement on Nov. 20th 2008 –
The survey, conducted by a third-party company was targeted at approximately 1,500 customers who had completed debt settlement programs.

Survey Results-

91 percent would recommend debt settlement as a debt-relief solution

80 percent described their overall experience with debt settlements as “excellent” or “good”

75 percent were not interested in a purchase of a guaranteed credit card in the future

51 percent saved between $10,000 and $40,000 on the original amount of debt they owed

47 percent were able to complete the program and pay off their debts within 3 –24 months

Click the link below for the full article.
http://www.tascsite.org/article.php?id=22

Debt settlement is a practice that has been in practice for thousands of years. The business of debt settlement became widely utilized in the late 1980's and early 1990's. At that time bank deregulation which loosened consumer lending practices, followed by an economic recession placed consumers in financial hardships. History has again repeated itself. Banks began to see a rise in charge off's and in order to reduce their loss they established debt settlement departments. Often if you ask your creditor to speak with their Debt Settlement department, they will deny it's existence. The aim of creditors is to gain as much money via interest, late fees and other revenue producing tactics as possible. Banks and other creditors are so familiar with the practices of debt settlement programs. One of the first questions asked by creditors when our clients are enrolled is: How much money does the client have saved in their Trust Account?

You can call and have this service over the phone or if you are in Austin, Texas i or one of my team members will be glad to meet with you in person.

Every debt load is unique, feel free to call me for a free consultation. 512-919-2123.