FAQ

What is Debt Relief?

Debt Relief is a debt settlement program for consumers which works similar to a bank bailout or bailouts for big corporations. In a corporate bailout, the company is allowed to charge off their debts, with their creditors settling for pennies on the dollar.

When should I consider enrolling?

If you are currently making minimum payments on your credit cards and unsecured debt, and are struggling making your payments each month, a Consumer Bailout Program is right for you. You should act now while you still have the opportunity, because creditors are always lobbying for stricter laws to make consumer debt settlements much more difficult and expensive.

How do I know if I am eligible?

If you live in a state which allows debt settlements, you are not in bankruptcy, and you are currently struggling with making your monthly payments, you should be eligible.

If I get accepted, will I still have to make payments on my current debts?

No, when you enroll and are accepted into the program, you will no longer have to make payments to your creditors every month. Instead, you will make one montly payment which is less than your current combined monthly payments into an escrow account set up in your name by the debt settlement company.

How much will I have to pay each month after I am enrolled in the program?

The payment you make to the debt settlement escrow account is usually half of what you are currently paying each month on all your debts put together.

Do I have to pay any fees up-front?

No. You do not pay any up-front fees, and the settlement agent's fee comes out of the escrow account at the end of the payment plan, and after all your debts are settled.

Will I get collection calls from my creditors while I am enrolled in the program?

No. When you are accepted into the program, you provide your settlement agent's phone number to all your creditors, so they will no longer be calling you. If they call, your creditors will be informed that you are in a debt settlement program, and that they are not to contact you until a settlement is reached.

Do I have to include all my credit cards, as I would still like to have access to credit?

No. You can keep any credit card or lilne of credit open if you choose, as you are not required to include all your debts into the settlement program.

Why not just file bankruptcy or do a debt consolidation?

A bankruptcy will ruin your credit for 7 years while a debt settlement can have your credit rating restored within a few months. Also, there are limits to how much money you can make in order to file bankruptcy. With a debt consolidation, you will be taking out one big loan to pay off your debts which is usually secured by your home or other assets, so if you have problems paying the consolidation loan you may lose your home, car, and other assets which you have pledged as collateral. A debt consolidation actually increases your total debt, while a debt settlement through our bailout program reduces it by an average of 42%.