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Hopefully, this does not turn into a trend, but today I must have talked to at least 10 debtors that are now with Debt Settlement companies. As a debt collector, I may be biased in this regard and have routinely gone on record as to my opinion of debt settlement companies. I’m now starting to get the feeling people are hiding behind these companies. I can guarantee most debtors have not done their research on these companies and realized the how much of a rip-off they are. However, here are a few of the justifications I have heard from debtors for for using debt settlement companies:
- The Convenience of Making Payments to One Place - Why not try paying your girlfriend, mother, father or grandmother and then have them pay your bills for you. In the end it will be much cheaper.
- To Low Interest - This justification just floors me; a debt settlement company cannot and will not lower your interest rate. You probably have a better chance of lowering your rate by contacting the credit card company directly.
- There are No Other Options Available – This is sheer ignorance at it’s core; you have plenty options. Hey, in fact you can even DO IT YOURSELF by negotiating with the credit card company!
If you’re reading this blog then you are obviously Internet savvy. I can promise you that if you spend 5 hours researching debt settlement and all that is involved, you can easily do it yourself. An additional benefit to this method is that you will gain financial intelligence, then you will be primed to help others in your scenario. There are great communities like debtconsultationcare.com that are strictly created to help you with any obstacles or questions you my have. Please, stop hiding behind these debt settlement companies and take control.
6 Comments until now.
Credit card companies, being in the position of strength, are notoriously unhelpful when you have gotten behind on your debt. I know, it has happened to me. I got myself out of it, but I assure you it was NOT due to ANY help on the part of the credit card compaies. I asked. What they were willing to offer could not be called help.
I never tried a settlement company, but who can blame people for wanting something to “hide” behind? Frankly if a debt collector hates them so much I am inclined to think there must be something valuable there.
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Hates a strong word.
However, certainly I’m not the only one. Do the research.
Mr. Vaughn,
I have several questions regarding the comments you make above:
The title of your blog has nothing to do with what your talking about. Debt Settlement companies don’t lower interest rates. If a consumer is telling you this why aren’t you turning the company in?
The convenience of making payments to one place. What does this mean?
There are no other options available??? This is total BS! Are you turning these companies in?
On a more personal note, I’m owner and CEO of a very reputable debt settlement company in Arizona. I’m sure you could care less what I do but my reason for reaching out to you is because these bad acting companies need to be aware they will not be in business much longer.
P.S. Thanks for sharing your thoughts!
Ha, Sarah I’m sorry I’m not creative to enough to come up with these excuses.
These are routinely the responses I have been receiving.
If your a CEO of a debt settlement company it would be in your best interest to police your own industry. There are bad collection agencies all the same.
How do you know which program is good and which one is right for you. I heard their is a way to check there beruo report or something, not sure what its called. How can you see the results and reputation of the debt settlement program or debt consolidation program.thanks…
The Better Business Bureau is a fine please to start or Rip-off report. However, you have to do this with the understanding that most people taking the time to report these business are for various reasons not very happy. So a few bad marks are to be expected. As I stressed numerous times before you can settle your own debts just as easy as one of these companies.
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