 | Promises that unsecured debts can be paid off for pennies on the dollar. The is that there is no guarantee that any creditor will accept partial payment of a legitimate debt. Your best bet always is to contact your creditor directly and as soon as you are having problems making payments. |
| Requires substantial monthly service fees and demands payment of a percentage of what they’ve supposedly saved you. The is that most debt relief companies charge hefty fees for their services, including a fee to establish the account with the debt negotiator, a monthly service fee, and a final fee – a percentage of the money you’ve supposedly saved. |
| Tells you to stop making payments to or communicating with your creditors. The is that if you stop making payments on a credit card, expect late fees and interest to be added to the amount you owe each month. If you exceed your credit limit, expect additional fees and charges to be added. Your credit score also will be hurt by not making payments. |
| Claims that creditors never sue people for not paying their unsecured debts. The is that creditors may have the right to sue you to recover the money you owe. And sometimes, when creditors win a lawsuit, they have the right to garnish your wages or put a lien on your home. |
| Claims that they can remove accurate negative information from your credit report. The is that no company or person can remove negative information from your credit report that is accurate and timely. It’s illegal. |
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