One in every three persons in the USA have problems with debt. Some really find the follow up by collection agencies very stressful and would do anything to get rid of it and be free from the tension once again. There are many fraudulent Maryland Debt Relief that would count on your despair to scam you off your money. Beware of the following red flags that should identify to you clearly that the debt relief agency is fraud:
Offers Guarantee of Fast Credit Score Increase
Nothing can fast forward the process of raising your credit score. It takes time for the credit bureaus to appreciate that you are responsible with your finances. The increase of the score would come after observing that you pay your bills on time and in full over a period of minimum one year. Hence, anyone who guarantees you a jump in the credit is either fraud or is doing something illegal – and you do not want to be part of any such Debt Relief in Maryland scheme or agency.
Promises To Reduce Your Debt By 50-75%
The truth is that your overall debt amount may be reduced significantly after negotiations. Debt consolidation agencies could negotiate with creditors to waive off penalties and sometimes even 1-2% of interest rates. But this would come nowhere near 50-75% reduction of the debt. If you find this promise in the ad, stay away from the debt consolidation agency because it would be a fraud.
Asks You To Pay Fees In Advance
Beware of any Maryland Debt Relief agency that asks you to pay any type of fees in advance. You are not supposed to pay anything as fees or for any other purpose to a credit repair or debt consolidation agency. If there any upfront fee demand, the agency will definitely be fraud. Stay away from it.
Promise To Pay Off Debts Way Too Fast
This is not possible for the simple reason that you are the person who would make the payment. The debt consolidation agency’s role is to get all the debts rolled into one so you would be required to make only ONE payment as per your ability. You cannot pay any faster unless you pay more. Most agencies justify a steep fee with the assurance that you would save 10 times as much when the interest rates are negotiated into the ground. This is a red flag; stay away.
Promises “Secrets” That Would Wipe Off Your Debt
Some Debt Relief in Maryland scam agencies promise that they have ways that would eliminate your debt through legal loopholes and/ or government grants or special loans. Do not believe such claims. There are no such grants, or legal loopholes. These companies feed on your despair and in the end will steal your hard earned money that should otherwise go towards paying the outstanding bills.
When and if you run into any such scams, immediately file a complaint with the Federal Trade Commission (http://www.ftc.gov/complaint) and or the FBI’s Internet Crime Complaint Center (http://www.ic3.gov/). You could also contact the Attorney General’s office of Maryland state – http://www.oag.state.md.us.