What We Do
What is Debt Settlement?
Debt Settlement is also known as Debt Negotiation or Debt Arbitration and Debt Forgiveness. It is the process where a Credit Card company accepts a lower amount of payment for the amount of credit card debt owed. DebtBlue has over 20 years of experience in lowering credit card debts. We have professional debt negotiation teams that contact credit card companies and start the negotiation process on behalf of the debtor. To get started, the client (you) consent to provide the Debt Settlement firm the right to negotiate your debt on your behalf. You don’t have to talk to the credit card companies if you don’t want to once you hire a firm like DebtBlue. We take the stress and headache away from you by negotiating on your behalf.
Who should consider Debt Settlement?
Debt Settlement can be an effective way to reduce the principal portion or a have a portion of your credit card debt, department store bills and medical bills forgiven. Although it’s not a prerequisite, it works best for people who have at least $10,000 or more in unsecured debt. It also works for people who have not been able to make regular credit card payments, and credit card companies are concerned about having to charge off the credit card debt. Believe it or not, the more you owe the more you can actually save. It is not a good option for people that have secured debt against an asset like a car loan, home loan, boat loan or land. These types of debts are secured against those assets, and the creditors will come to take those assets back for payment against debt. Creditors will rarely negotiate on this type of debt.
How long does debt settlement take?
Wondering how long debt settlement takes? The length of time it takes to settle a debt depends on the number of debtors owed, the amount owed, and the time it takes to have an offer for payment. Instead of making regular payments to the credit card company, a consumer begins to save for a lump sum payment to the creditor. This can take 12 months to 24 months or longer depending on the individual’s financial situation. This is much faster than if you made minimum payments on your credit cards. For example, if you have a credit card balance of $10,000 at 19.88% interest (current interest rate offered to those with good credit) and you made a $170 monthly payment, you would:
- Take 224 months to pay it off. That’s 18 years and six months!
- Pay 74% interest.
- Pay $27,965 to credit card companies for interest alone.
- Pay a total of $37,965 to pay off the original $10,000 used.
How do I start the process?
The great news about working with a company like DebtBlue is the convenience. You can do most of the paperwork at home or online. We are here to help you. Feel free to call DebtBlue with any questions at any time during the process. You don’t have to spend your time in traffic trying to get to an office building. DebtBlue makes the process easy. To expedite the process, be sure to have all your credit card debt information together when you call for your free consultation. The more precise you can be on your debt situation, the better answers DebtBlue can give you on how long it will take to get out of debt with our program.
Why consider Debt Settlement?
It works. A large portion of your credit card debt can be forgiven, negotiated down and written off for good. Not to mention the stress and sleepless nights from overwhelming amounts of credit card debt ruins your quality of life. It tears families apart, can lead to depression and quite honestly can damage your health. Readers Digest quoted Health Psychologist Kelly McGonical from Stanford University and she writes, “What’s dangerous about debt is how pervasive and chronic it is. Debt is just bad in general for your health: the amount we worry about it but also the feeling that we can do nothing about it.” Ohio State Center for Survey Research did a study that linked credit card debt to poor health. Professor Paul J. Lavkrakas was the co-author and director of that study. He says, “Any one of us who has debt knows that it can cause stress in our lives, and it makes sense that this stress is bad for our health. The stress of owing money, and the knowledge that we are paying high interest rates, may lead to increased stress and worsening health.”