New Credit Card Debt Relief Laws - Why Credit Card Debt Is Easier To Negotiate and Settle For Less
Thanks to the government's new credit card debt relief laws, consumers facing increasing amounts of unpaid credit card bills do not have to worry anymore. These new laws have made it easier to negotiate and settle the consumers' credit card debt burden for less than what they actually owe to their creditors.
The FTC's regulations have made tighter rules for the debt settlement companies. According to this new law, no debt settlement company will be able to take advance fee from their clients. In order to safeguard the money of the consumers, only once a settlement is reached, a consumer is bound to give any fee to the debt settlement firm. This restriction on the upfront fee will clearly make it less risky for the consumers and thus, it will enable them to take help from a legitimate debt relief firm.
As the FTC's new laws has given more confidence to the defaulters to take assistance of debt settlement, more and more debtors are now opting for the credit card debt settlement instead of bankruptcy. Consumers with a huge amount of debt of ten thousand dollars or more are eligible under the new law to promptly avail the financial settlement services provided in their state and easily get their debts reduced by as much as 70 % of the total debts. The lenders are also getting benefits from the debt settlement option as they are getting paid some percentage of their money back instead of having to let go the whole amount in the case of bankruptcy.
Owing to the increased cases of debt settlement to provide debt relief, a growing number of new firms are working with the basic purpose of cheating the consumers and misleading by providing them false services. These firms charge a high sum of money as advance fee for getting registered with their debt relief program. The consumer unknowingly pays the fee and at the end finds out that all the claims made by these fraud companies were false thus getting themselves in more financial hardship than before. For this reason, the government had to intervene and make stricter laws to stop the illegal practices of these fraud companies. These new laws have clearly made it easier for the consumers to hire the right settlement company to help settle their debt issues efficiently.
If you have over $10,000 in unsecured debt it may be a wise financial decision to consider a debt settlement. Due to the recession and overwhelming amount of people in debt, creditors are having no choice but to agree to debt settlement deals. To find legitimate debt reduction help in your state and get free debt advice then check out the following link.
The FTC's regulations have made tighter rules for the debt settlement companies. According to this new law, no debt settlement company will be able to take advance fee from their clients. In order to safeguard the money of the consumers, only once a settlement is reached, a consumer is bound to give any fee to the debt settlement firm. This restriction on the upfront fee will clearly make it less risky for the consumers and thus, it will enable them to take help from a legitimate debt relief firm.
As the FTC's new laws has given more confidence to the defaulters to take assistance of debt settlement, more and more debtors are now opting for the credit card debt settlement instead of bankruptcy. Consumers with a huge amount of debt of ten thousand dollars or more are eligible under the new law to promptly avail the financial settlement services provided in their state and easily get their debts reduced by as much as 70 % of the total debts. The lenders are also getting benefits from the debt settlement option as they are getting paid some percentage of their money back instead of having to let go the whole amount in the case of bankruptcy.
Owing to the increased cases of debt settlement to provide debt relief, a growing number of new firms are working with the basic purpose of cheating the consumers and misleading by providing them false services. These firms charge a high sum of money as advance fee for getting registered with their debt relief program. The consumer unknowingly pays the fee and at the end finds out that all the claims made by these fraud companies were false thus getting themselves in more financial hardship than before. For this reason, the government had to intervene and make stricter laws to stop the illegal practices of these fraud companies. These new laws have clearly made it easier for the consumers to hire the right settlement company to help settle their debt issues efficiently.
If you have over $10,000 in unsecured debt it may be a wise financial decision to consider a debt settlement. Due to the recession and overwhelming amount of people in debt, creditors are having no choice but to agree to debt settlement deals. To find legitimate debt reduction help in your state and get free debt advice then check out the following link.
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