The country’s leading debt settlement services company, Freedom Debt Relief, deals with lenders to cut down on the unsecured debts that you have.
Companies that promise the settlement of debts must be the ultimate resource for the majority of people who have debts and problems with money.
- It is expensive.
- It may ruin your credibility.
- The commitment to resolve the debt for you is not guaranteed.
- The debt-liquidation companies, of which Freedom Debt Relief is a part, has confronted federal measures. The Office of Consumer Financial Protection has filed a lawsuit against Freedom Debt Relief, alleging that it deceived its clients.
About Freedom Debt Relief
Freedom Debt Relief targets clients who have problems with high debts from credit cards, health bills, personal loans, student credits, or other forms of non-guaranteed indebtedness.
You have to owe a qualifying total of a minimum of $7,500 to be eligible to become a client of Freedom Debt Relief. The firm encourages you to also apply if you have a credit card that has a credit balance of $500 or higher.
As with other debt relief agencies, Freedom Debt Relief is unable to assist clients with debts that require collateral. It also cannot address federal student loan debts.
New clients should come to Freedom if they have debts of over $25,000, in unsecured debts, or in up to eight credit balances, according to Sean Fox, co-chair of the company. The unsecured debt ranges from $7,500 to over $100,000, with a few clients having 20 or more credit accounts, said Fox.
Freedom Debt Relief is available in all the US, except for Connecticut, Georgia, Hawaii, Illinois, Kansas, Maine, Mississippi, New Hampshire, New Jersey, North Dakota, Oregon, Rhode Island, South Carolina, Vermont, Washington, West Virginia, and Wyoming.
How Freedom Debt Relief works?
The Freedom debt settlement procedure is common to the majority of debt settlement firms. After you register, you cease making any payments to your lenders.
Rather, you create a savings account, which is your property and under your control, and put the payments in this savings account.
Freedom Debt Relief will work with its customers to decide how much to put into the savings account every other month. The total amount is determined by your repayment capacity and the amount of the total registered debt that you owe, as determined by the firm.
Halting payments to your lenders will result in you becoming defaulted on accounts, accumulating late charges and interests, and your credit score will decrease. Overdue accounts remain on your credit records for up to seven years.
After you save enough cash, the firm begins to negotiate with your lenders in your name in an attempt to make them agree to accept under the amount you owed. The point is that after all those months when you did not pay, the lenders tend to accept a lower sum instead of risking not receiving anything at all.