Debt is a problem that affects millions of people in the United States and all around the world. While many people can handle their debt by themselves, by budgeting and making payments on time, other people are so far in under the water that they need help – and need it fast. If you fall into this second camp, those that are struggling with overwhelming debt, then you should consider looking into debt relief companies.
Debt relief companies can do a lot of things. First and foremost, they can provide credit counseling, a service that provides you with financial, debt, and credit device. It can also help you learn the basics of debt control. Furthermore, they can help out settle your debt or create a debt management plan. A few of these settlement/management options include debt consolidation and debt settlement.
But there is a catch to seeking out a debt relief company to help you out. The catch is that many of the debt relief companies offering help today aren’t reliable or trustworthy. While some just plain lack the required knowledge, skills, or experience to truly help you get out of debt, others are, in fact, unscrupulous and are looking to scam their customers (read: you) out of money. In fact, the Better Business Bureau receives thousands of complaints per year of debt relief companies practicing dishonestly and scamming customers out of even more money than they already owed.
A big reason for the number of debt company scams that actually get out the door is the fact that struggling with debt is a very emotional thing. Having little control of your finances, for lack of a better word, completely sucks. It’s easy to jump at the chance to sign up with a company that says they’ll help you out of your debt without first doing your research. But, luckily, that research is relatively easy to do and finding a trustworthy company really isn’t as hard as it might at first seem.
And with that here are a few of the best ways to weed out the scams and the plain bad companies from the good ones. Here are the ways that you can find a trustworthy company to help you with your debt problems.
The most important thing that you can do when looking for debt relief help is to compare several different companies with each other. This will help give you a clear idea of which companies are ‘exaggerating’ their claims and which companies you can trust. Take special care not to select a debt relief company that makes promises that sound ‘too good to be true,’ especially when compared to other companies.
Taking a long hard look at the fees required by debt relief companies is a surefire way of weeding out scams and finding one that is reliable. Of particular note are up-front fees. A company that requires up-front fees is almost always a scam. In fact, requiring up-front fees is one of the number one scams in the debt relief industry. These companies will take your fee and then leave you down and out. Sometimes they will even take your fee and then cause you to owe even more money in debts. It is best to only choose a company that will help you set up and initiate a debt repayment plan before they charge you a fee. Several debt settlement companies actually won’t charge you a fee at all.
Are There Any Complaints?
You should also look at reviews of the companies that you are considering before making a decision. Websites like the Better Business Bureau are a great place to start. Take particular note of any customer complaints that have come in as these are telltale signs of debt relief companies doing unreliable and untrustworthy things.
How Do They Handle Things?
After weeding down the number of companies that you are considering for your debt relief help, it is important to look at the specifics of what each company is offering. Look at how they handle things such as terms, repayment, and interest rates. Get as much information as you can about the entire debt help process so that you know exactly what is going to happen and why. The more information that you can round up, the better off you will be.
Finding a trustworthy debt relief company really is not as hard as it is sometimes made out to be. In fact, by following the tips discussed above it can be made relatively easy. The tips will help you weed out scam companies and find a debt relief company that will help you solve your debt problem once and for all.