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“Debt settlement,” “debt relief,” and “debt resolution” are terms frequently used interchangeably to describe the process where you or a company acting on your behalf will negotiate with your creditors to reduce the amount of debt that you owe, with the goal of paying off your enrolled debt entirely.

Many customers who complete our program pay off their enrolled debts in as little as just 24-48 months. Compared to spending years and years making the minimum monthly payments and accumulating interest at a high rate, debt relief can be a quicker, cheaper, and easier way to reach your goal of becoming debt free.

Want to see how much time and money you could save by enrolling in our Debt Relief Program? Check out our Debt Repayment Calculator.

Calculate Your Repayment Time

The fee we take for settling your debt is calculated into your quoted monthly payment that we work out from the get-go. If you complete the program faster or slower, our fee remains the same; Debt Relief will never charge you hidden fees.

This fee is a percentage of each debt that you enroll in the program and settle, and that percentage varies from client to client based on their individual situation. If we can’t settle a specific debt for you, we won’t take a fee on that debt.

The dedicated program account provider will take a fee; you can review the specifics of potential provider fees in your enrollment contract with us or in a separate agreement with an outside account provider of your choosing.

We also offer optional “legal insurance” to our clients through an outside law firm for a small monthly fee. That is, if one of your accounts goes delinquent and your creditor takes legal action, a law firm whose plan we offer will represent you. This helpful service is optional; whether or not you choose to sign up for this service is your decision.

Clients enter our Debt Resolution Program because they are struggling to make ends meet. While we don’t advise anyone to stop paying their credit card bills, it’s important to note that continuing to make payments could impact our leverage when negotiating with creditors. The decision to stop paying your creditors is yours.

Debt Relief cannot and does not offer tax advice, but in general, if your debt is canceled, forgiven, or discharged for less than the amount owed, the amount of the canceled debt is taxable. If taxable – usually if the debt exceeds $600.00 – you must report the resolved debt on your tax return for the year in which the cancellation occurred. That said, this does not necessarily mean you owe taxes on the forgiven portion. In many cases, clients can legally exclude resolved debt from their income through the “insolvency exclusion” provided by the IRS code. This exclusion means that your liabilities exceed the fair market value of your assets, or that you “owe” more than you “own.” To learn more, please consult the IRS or a tax professional directly.

Despite having similar names, debt relief and debt consolidation are not the same thing. Debt consolidation is the process wherein you pay off all your monthly debts with a single loan, resulting in just one monthly payment. Both debt consolidation and debt relief share the ultimate goal of getting you out of debt, but debt consolidation loan options will typically require you to have good credit to qualify or may have interest rates that are not much better than your current rates. They do make it easier to remember to pay one bill each month instead of juggling many pre-consolidation debts.

Debt relief is often seen as a less drastic alternative to bankruptcy. While both bankruptcy and debt relief can get rid of your debt, they use very different methods to achieve that goal.

For one, debt relief programs typically operate on a shorter timeline than bankruptcy would. Additionally, while both negatively impact your credit score, bankruptcy can stay on a credit report for up to 10 years, which is longer than for debt settlement.

Like any solution to overwhelming debt, the debt relief process has its pros and cons—but you’re the only person who can decide if it’s worth it.

Because debt relief is a major commitment, you’ll want to do some digging about what your financial goals are by asking yourself a few key questions.

What am I using my credit for? Do my goals require me to have a decent credit score in the short term, or do I want to have an excellent score in the long term? Can I afford to make a monthly payment toward my debts?

Again, you’re the one who knows your situation and your money goals best. You might conclude that debt resolution isn’t right for you—or you might realize that it’s the best thing to happen to your finances! If you’re unsure, our team of certified debt specialists is available to help you make an informed decision.

In order to optimize the success of our Debt Resolution Program, we strongly recommend that all of your qualified debts be enrolled. Your debt consultant will explain the enrollment process and point out the potential pros and cons to excluding any qualified debts.

Yes, interest and late fees will typically continue to accumulate, however our experienced negotiating team will always attempt to settle your debt with your original balance in mind.
Again, you’re the one who knows your situation and your financial goals best. You might conclude that debt resolution isn’t right for you—or you might realize that it’s the best thing to happen to your finances! If you’re unsure, our team of certified debt specialists is available to help you make an informed decision.