It might be possible to settle your debts for less than expected, and keep away from bankruptcy as well. We can help you find a debt settlement firm in Whitehall that works with Whitehall residents. What’s even better: there are absolutely no commitments, and it’s cost-free.
Isn’t it time to talk about your options with a debt settlement consultant in Whitehall, PA?
Finding a Debt Settlement Service in Whitehall, PA
You can’t entrust your debt settlement to some dishonest company. Virtually any honest debt negotiator will give you some details before signing up. They state their rates, their starting dates, and the risks you will be up against. Make sure your Whitehall, PA debt settlement service is an honest one. Check the following:
- Certification: Popular accreditations include AFCC (American Fair Credit Council) and IAPDA (International Association of Professional Debt Arbitrators).
- Rates: Confirm that the fees they demand are realistic.
- User Ratings: Look for positive responses from past consumers.
Should any debt settlement company in Whitehall attempts to charge you upfront fees, lodge a complaint against them..
Debt settlement services have a few highly-touted advantages:
- 20-60% Decrease in Debt
- Huge Savings in Interest
- Short 24-48 Month Timeline
- Adjustable Repayment System
- Alternative to Bankruptcy
However, it has more downsides than other solutions.
In order to negotiate the biggest reduction in debt possible, your debt settlement agency will probably recommend that you stop making payments to your creditors. Your money will enter a bank account. After there’s sufficient funds to pay the negotiated amount, your card balances will be paid back. Meanwhile, your credit rating gets worse because you’re not paying your creditors. Plus, the collection agency calls might not come to an end. In accordance with somewhat new FTC rules, this savings, or “special purpose” account has to:
- Be with an FDIC-insured bank.
- Provide you with unrestricted access.
- Not penalize you for withdrawing money.
Don’t forget, banking institutions do have the right to sue an individual so as to collect a debt. There is a heightened chance of litigation when it comes to debt settlement in Whitehall, PA. Why? Simply because you quit repaying your creditors.
Card issuers have only so long to file suit for unpaid credit card debt. According to PA statute 42 Pa. C.S. 5525(a), this is 4 years.
Preferred Debt Settlement Candidates in Whitehall, PA
Debt settlement might be a good option if you would reply yes to the following questions:
- Are you entertaining the idea of declaring bankruptcy?
- Are you carrying at least $10,000 in debt?
- Would you be willing to tolerate bad credit scores if it helps you get out of debt faster?
If you meet these criteria, you’re not alone. We estimate that 2,483 of Whitehall’s 25,063 residents are burdened by at least $10,000 of credit card debt.
What’s Your DTI?
If your debt-to-income ratio is more than 50%, then legal debt relief is worth exploring.
Say you earn $3,599 each month, the Whitehall average. If you spend less than $1,296 for credit cards, loans, and mortgage/rent, this is a recommended debt load of 36%). If you are shelling out $1,332 to $1,512, which is 37-42%, you may want to reduce your spending. If are spending $1,548 to $1,800, which is 43-50%, you’re heading towards severe debt troubles. If are shelling out more than $1,835, you are in serious debt and should contact a debt professional asap.
Managing vs Settling Your Debt: Whitehall, PA
Settling your debt and just consolidating it are two distinct approaches. Almost all debt management plans give you less expensive interest levels for your credit cards and/or payday loans. However, there is no forgiveness of the balance due.
Some forms of debt relief – consolidation, management, and counseling – have much less of a negative effect on your credit ratings in the long run. However, these are extended options in which you pay off all of your debt. For more information, go here: credit counseling in Whitehall.
What Does Debt Settlement Cost?
While debt management programs have flat monthly fees, debt settlement fees are generally assessed once each creditor is settled. Nearly all settlement companies will charge you about 14-18 percent of what you owe – which is a whole lot! In most cases, they are prohibited by law from assessing a fee until an account has been repaid.
Debt Settlement Firms in Whitehall, PA
- Consumer Credit Counseling Service Of Lehigh Valley Inc, 3671 Crescent Ct E, 18052