Be Cautious Seeking Help with Debt

When you are overwhelmed with your growing debts, getting debt help is the only way to deal with it. But because you are too eager to eradicate your balances, you sometimes forget to evaluate every debt relief option and agency that comes your way. This more often than not results in getting duped by some debt settlement scams.

In order to prevent getting cheated by some debt relief schemes, here are several tips that are proven helpful.

1.       Years of existence – In searching for a debt settlement or debt relief agency, it is recommended to go for an agency that has been operating for at least five years. Few debt settlement agencies stay long in the business so be sure to know their tenure in the market. It is also highly advisable to know the background of the people in the management. Check whether one of them has ever been involved in any illegal debt relief activity.

2.       Get recommendations – If you can contact few of their past and existing clients, do it. You must ask about their experience with the company, and if they are satisfied with the results that they have or they had. If the company has a website, search for the customer testimonials to know what their clients have to say about the company. When one of your relatives or colleagues had been their customer, get his or her feedback on the debt relief agency.

3.       Read before you sign – Before you put your name in the debt settlement contract made by your chosen agency, read the terms and conditions and make sure everything is clear and comprehended. In case, some provisions are vague or implied, ask clarification from your consultant. Contracts must not have equivocal terms. It must also indicate the exact amount that you have to give them to settle your debts, the duration of the program and the fees that you have to pay.

4.       Do not always go for “hassle-free” registration – Never engage to those debt relief offices that offer easy or over the phone registration because most of these offices charge you with membership and or monthly fees. Most of these companies want to take advantage of your financial troubles and drain you out of your money.

5.       It pays to ask questions – Do not assume on anything especially with the debt relief option that you are inquiring about. You have to remember that every debt settlement agency operates differently so the terms and policies in one debt settlement firm may not be the same as the other firms. So, ask your consultant all the things that bother you or that are unclear to you.

6.       Ask your credit card provider or creditor for their recommended debt settlement firms – Banks or your credit card providers are knowledgeable on which debt relief agency has ever been involved in any unscrupulous debt settlement activity. You may also inquire about some reliable and seasoned agencies so you will have better choices.

Getting debt help can be tricky and challenging because your money and your creditworthiness are at stake. So, choose wisely to avoid untoward events in the future.