Find Debt Consolidation Services That Work For You
Every day debt consolidation companies help thousands of people manage their debt and restore their credit. As with any financial counseling, however, you need to find a legitimate, trustworthy company that offers the right debt consolidation service for your needs.
Here is a quick guide to debt consolidation services, choosing the right debt consolidation company, and avoiding debt relief scams.
Debt Consolidation Services and Companies
First, find out what is involved in each debt consolidation service offered by the company. You will want to know what each service actually includes, what fees they charge, and whether you will be refunded if the company fails to negotiate terms with your creditors. Fees should also be reasonable, so compare rates from a few different debt consolidation companies.
Certifications and Ratings for a Debt Consolidation Company
To avoid scams, ask your debt consolidation company if they have been accredited or certified by an outside organization, and if so, which one. If not, ask if they are licensed or how they are trained. Keep in mind that not all states require debt consolidation companies to be licensed.
Next, check with the Better Business Bureau to see if the company has any marks against it. If they do, move on. Your finances and credit are important matters which should only be handled by trusted professionals.
Finally, you can call your state’s Attorney General, consumer protection agency, or the Federal Trade Commission to see if any complaints have been filed against the company. If so, try and get the details of the complaints so you can evaluate them for yourself.
Experience with Providing Debt Consolidation Services
Check to see how long the debt consolidation company has been in business. Be sure to ask whether they have been bought out by another company, and how that has affected their operations and services.
You will also want to know whether the company specializes in negotiating with creditors, and ask for examples of their results. A good company should have no problem providing you with customer testimonials.
Contracts and Written Statements
Before committing to any debt consolidation service, get a written statement of all the fees the debt consolidation company will be charging you. Beware of additional “voluntary contributions” or excessive fees.
The company should also provide you with a contract outlining the following:
- Payment terms for services, including the total cost
- A detailed description of services to be performed
- How long it will take to achieve the results of the service
- Any and all guarantees they offer
Quality of Service
Legitimate debt consolidation companies will want to genuinely help you and not take advantage of your financial hardship. Their staff and services should be designed to remove the stress and pressure you feel regarding your debt. A good debt relief company should do the following:
- Treat you with respect and courtesy
- Educate and inform you of your options
- Provide you with information on what you are getting with each service
- Negotiate to create a repayment plan which is realistic and manageable
If you’re still having trouble choosing a debt relief company, start by checking out CareOne Credit, one of the top providers for debt consolidation. They offer a variety of debt relief plans, a debt consolidation guide, and many other related resources to help you get out of debt fast.