Creditors may send the debts to collections agencies and/or law firms to collect your debt, although from our experience, this is a very rare occurrence. However, if this happens to you, we partner with a third party law firm that can negotiate your case with the goal of resolving the
Most of your creditors will only engage in serious conversations with your negotiators about debt settlement if they know you are really committed to paying them off. You can only prove this payment obligation by accumulating enough money in your assigned savings account. In general, the first settlement usually takes
Part of your agreement with your credit card companies allows them to continue to add interest and late fees to your debt any time you fail to make payments. This means if you let your accounts become delinquent, your creditors will continue to add interest and late fees onto your
According to the IRS, a forgiven debt is a taxable income. This means that at the end of the year, you will be expected to pay taxes on the settlement. However, IRS Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness, may exempt you from this tax. Please
In accordance with the instructions of the AFCC, we will create a bank account insured by FDIC on your behalf, and you have ultimate control over it's funds. The monies collected in this account get disbursed only at the time a negotiation is reached with the creditor and you agree
Each case is unique. Many people prefer to keep one or two cards off their debt program to use for emergency funding. However, in general, you should include all cards with a balance greater than $500 in the program, as this will facilitate the negotiation of an agreement by your
There is a slight possibility that any creditor can sue you. Lawsuits are expensive and creditors try to avoid them. However, if you stop paying your creditors, there may be a chance that they may sue you in an attempt to collect what you owe them. Whatever your situation maybe,
Whenever you are looking for a debt consolidation company that helps you pay off your debts, there are important questions you need to ask: are they transparent about the types of debt they accept, do they provide a realistic timeline for getting you out of debt and a fair estimate
We act with integrity and passion in everything we do, but unfortunately, not all debt relief companies have the same ethical commitment as we do. We recommend that you review all eligible companies before embarking on a debt consolidation program. As an Accredited and Executive founder of the American Fair
With the Rebound From Debt consolidation program, you can pay off your credit card debts, medical bills, department store cards, most types of collection debt and many other unsecured debts. Our program does not cover debts that involve collateral (such as car loans and mortgages). We also cannot cancel federal