After weeks of searching for the best way out of your situation, you’ve decided on debt settlement, a financial strategy that has given scores of consumers like yourself a fresh start. You’re mulling letting Freedom Debt Relief handle the process, because you know it’s important to have on your side an established, reputable company. But how does Freedom Debt Relief (FDR) work? Well, let us look.
What is Debt Relief?
Debt relief, or debt settlement, is where you hire a company such as Freedom Debt Relief to negotiate with your creditors – typically credit card issuers – to let you pay a portion of what you owe to satisfy your unsecured debt.
Creditors typically go along because they know that if they refuse, you’ll likely file bankruptcy. If that happens, they get zilch.
How Does the Process Work?
Every company has its own process, but how does Freedom Debt Relief work, you ask. First, you’ll first have a free consultation during which a trained representative assesses your situation. You’ll then be asked to deposit funds monthly into an escrow-like account from which your settlement funds will ultimately be derived. Once you’ve saved sufficient cash, your negotiators will use your account funds as leverage to settle each debt.
Is Freedom Debt Relief Legit?
Totally. First, the company has been around for nearly 20 years and has had more than 600,000 consumers enroll in its program. If it were one of those scam companies that pockmark the industry it would haveby now been done in. To the contrary, Freedom Debt Relief is a founding member of the American Fair Credit Council – the leading national association of debt settlement companies – and a platinum member of the International Association of Professional Debt Arbitrators.
You can also check out reviews on websites such as Consumer Affairs and TrustPilot.
Can Freedom Debt Relief Promise to Settle All My Debts?
No debt relief company worth its salt can make such promises, simply because, by definition, negotiations are unpredictable. However, if anyone can get you settlements it’s FDR and its trained and experienced negotiators.
In general, a better determinant is your debt load and ability to build up negotiation savings.
How Long Does It Take to Get Settlement?
Again, that varies with each company. With Freedom Debt Relief, the timespan is between two and four years, although the first settlement typically comes within the first few months.
Will Freedom Debt Relief Hurt My Credit?
Nope. However, the process of debt settlement will cause a temporary credit score downturn. But then, your scores likely aren’t the greatest now anyway. And remember, once your debts have been cleared, your scores will rebound and then some.
Debt relief also helps you avoid bankruptcy, which, depending on whether you choose Chapter 11 or 13, could live on your credit report for up to 10 years.
How Much Savings Can Freedom Debt Relief Get Me?
This hinges on factors such as your debt load, your creditors and your state of residence, but Freedom can settle your obligations for as little as half your balance, and sometimes even less. You’ll need at least $7,500 in outstanding unsecured debt, by the way. In addition to credit cards, that also means medical bills and personal loans.
Now you know more about how Freedom Debt Relief works. You simply can’t do better than FDR, the nation’s largest debt settlement company.
Don’t you want to get back on your feet? Well, what are you waiting for? Give Freedom Debt Relief a call today.
Evan McKenzie is a contributor at Vaughantoday.ca, covering a wide range of topics including local news, politics, business, technology, sports, entertainment, and lifestyle. He focuses on clear, balanced reporting that helps readers stay informed about current events and issues that matter to their communities. His work aims to provide useful information, timely updates, and relevant stories presented in an accessible and reader-friendly way.