How can I erase my debt?
Technically speaking, you can’t erase your debt, but here are your next closest options. And towards the bottom of this page, you will find debt relief program disclosures and potential negative consequences that can come along with a debt relief program. Beware — of all the good — but also the bad!
DEBT SETTLEMENT
Firstly; you can settle your debt and a portion of the balance will be forgiven. You can get rid of all your debt quickly with this option. You won’t have to pay the portion of your debt that gets forgiven. The downside with this option (debt settlement), is that late and collection marks will then be left on your credit report.
DEBT VALIDATION
Secondly; you may dispute your debts with a program called debt validation. You are not paying your debt with debt validation. You are disputing your debt with a debt validation program so that it becomes “legally uncollectible” — and you may not have to pay it. Also, a debt collection company cannot report a debt on your credit report once it becomes legally uncollectible. That is the goal of debt validation; — dispute it, you don’t have to pay it and it comes off your credit report.
DEBT DISMISSAL
Thirdly; debt can be dismissed — just like how a lawyer challenges a speeding ticket and gets it dismissed. You could get your debt completely dismissed in some cases, almost as if it was wiped clean. When the credit card company or a creditor violates a federal law, such as the Fair Debt Collection Practices Act (FDCPA), a lawyer can pursue legal action against that creditor and sue them. To avoid getting sued — the credit card company will dismiss the debt. That is how your credit card debt could get dismissed.
Take Control & Get Rid of Your Debt Now — Call Toll-Free 1-866-376-9846
Golden Financial Services is one of the few companies in the nation that offer multiple debt relief programs. We analyze a person’s entire financial situation and then pinpoint where the problems are. We then work on each area with a laser focussed approach. We make sure each financial problem is properly addressed. To do that, we’ve partnered with the top debt relief companies in the nation, making sure that we can offer consumers the right program based on their specific needs. We even found the best attorneys’ in the nation to assist clients who may need legal defense, to sue a creditor, or to settle a summons or lawsuit. Most debt relief companies offer one program, and they try to squeeze every client into that one program, and this approach is not practical. The reason Golden Financial Services has zero customer complaints and an A+ BBB rating is that we give people the right type of assistance and we solve the problems that they need to be fixed and go above and beyond.
We make sure each financial problem is properly addressed. To do that, we’ve partnered with the top debt relief companies in the nation, making sure that we can offer consumers the right program based on their specific needs. We even found the best attorneys’ in the nation to assist clients who may need legal defense, to sue a creditor, or to settle a summons or lawsuit. Most debt relief companies offer one program, and they try to squeeze every client into that one program, and this approach is not practical. The reason Golden Financial Services has zero customer complaints and an A+ BBB rating is that we give people the right type of assistance and we solve the problems that they need to be fixed and go above and beyond.
To do that, we’ve partnered with the top debt relief companies in the nation, making sure that we can offer consumers the right program based on their specific needs. We even found the best attorneys’ in the nation to assist clients who may need legal defense, to sue a creditor, or to settle a summons or lawsuit. Your financial well-being is a top priority. We make sure to cover all angles.
Most debt relief companies offer one program, and they try to squeeze every client into that one program, and this approach is not practical. The reason Golden Financial Services has zero customer complaints and an A+ BBB rating is that we give people the right type of assistance and we solve the problems that they need to be fixed and go above and beyond.
You can trust that you will get unbiased and honest advice when using Golden Financial Services.
You should also be aware of the potential negative consequences of each debt relief program, and not just hear about the positives. Below, we have provided the disclosures that you need to know.
Disclosures and potentially negative consequences for all debt relief programs
***With debt settlement services, clients who make all their monthly program payments pay approximately 50% of their enrolled balance before fees, or 68% to 75% including fees, over 24 to 48 months. These debt settlement program estimates are based on prior results, which will vary depending on each clients’ specific circumstances.***
HOW TO PROTECT YOURSELF: — Carefully review your debt settlement program client agreement. Make sure to calculate the amount the debt settlement company estimates will be paid to your creditors, plus their fees. The total cost should come out to 68% to 75%, including their fees. Also, verify that their fees are only earned after your debt is settled and paid. Your monthly payments will be accumulating in a trust account that only you have control of. Included in that payment is the money that will be getting paid to your creditors for the settlement, plus the debt settlement company’s fees. When it is time to settle one of your debts, the company will call you to go over the details, and only if you agree to the terms, can the funds get paid to the creditor. When it is time to pay the creditor, the funds are released directly from your trust account and paid directly to the creditor. If the debt settlement company offers you a settlement that is higher than what they originally quoted you — you can reject the offer and don’t have to pay them a dime. After a settlement is completed, their fee will get released from your trust account and paid directly to the debt settlement company. You are now done with that debt and the process continues until you are debt-free. This is the safest type of debt settlement program that will keep you safe from getting ripped-off.
***With a Consumer credit counseling program, it is reported that a person joined a consumer credit counseling program, also known as a “CCC” on their credit report. This can look negative to future lenders because it shows them that you couldn’t manage your accounts on your own.***
HOW TO PROTECT YOURSELF: — There is nothing that you can do to avoid this mark from going on your credit report if you join a consumer credit counseling program. Just be aware of it and have a plan in place to improve your credit in other areas.
***With a debt validation program clients don’t pay their debt back since the debt is being “disputed”. Clients do pay a fee for a debt validation program. This fee can vary from company to company. The fee for a debt validation program is much less than the total cost of a debt settlement program, and credit repair is included with debt validation.***
HOW TO PROTECT YOURSELF: — Make sure that if a debt is not fully disputed and invalidated, you will be refunded for that account. There should be a written guarantee that states if a debt is not fully disputed and invalidated, you will be refunded on that particular account. Also, if you are sued over a debt that is enrolled in the program, make sure that; A. you get refunded for that account and B. they have an alternative plan to address the summons and get the debt resolved.
***Not all clients are able to complete a debt settlement, debt dismissal, debt consolidation, student loan relief, consumer credit counseling or a debt validation program — for various reasons, including their ability to save sufficient funds and afford the payment for the duration of any type of program.***
HOW TO PROTECT YOURSELF: — Make sure the company does a budget analysis of your situation prior to joining the program to be sure that you can afford the payments. Check to see if at some point you have a financial problem, will the company allow you to skip a payment or lower your monthly payments?
***There is no guarantee that a person’s debt will be resolved for a specific amount or percentage, or even within a specific period of time.***
HOW TO PROTECT YOURSELF: — Just be aware of this fact. And ask what the company’s back-up plan will be if they can’t resolve one of your debt’s with the program.
***We do not assume your debts, make monthly payments to creditors or provide tax, bankruptcy, accounting or legal advice or credit repair services.***
HOW TO PROTECT YOURSELF: — You are doing it right now, by reading and educating yourself on this subject. Only a debt dismissal program assumes a person’s debt, no other program will assume your debt.
***The IRS considers a forgiven debt as taxable income, so at the end of the year, they will expect taxes to be paid on the settlement. This disclosure is only referring to debt settlement. If you dispute a debt with debt validation and the debt collection company can’t verify it as a legally collectible debt, well in this case — there is no settlement occurring and nothing to report to the IRS.***
HOW TO PROTECT YOURSELF: — The IRS has a form (#982) available for special hardships. You can find this form on the IRS website here. A large number of debt settlement clients file this form so that they don’t have to pay taxes on the savings.
***The use of any type of debt relief program that requires you to stop paying your creditors each month can at least have a short-term negative effect on your credit score. As mentioned above, even a consumer credit counseling program, where you continue paying your creditors each month, can adversely affect your credit due to the “CCC” mark that goes on your credit.***
HOW TO PROTECT YOURSELF: — Learn how to improve your credit score so that after you graduate the debt settlement program you know exactly what to do.
*** Debt settlement programs may result in you being subject to collections or being sued.***
HOW TO PROTECT YOURSELF: — Firstly, see if the company warns you of this possible negative consequence, and if they don’t — don’t sign up with them. If they do mention this to you as they should; — ask the company how they will resolve your summons if you get sued or a summons occurs. Any reputable debt relief company should confidently answer this question and provide you an answer. Credit card lawsuits rarely happen, but you could be sued, so you want to make sure there is a plan to resolve a summons if it occurs. 90% of credit card lawsuits are flawed or inaccurate in one way or another, and they can be dismissed. A summons can be settled prior to the court date, but it will cost a person more than settling a debt that doesn’t have a summons attached to it.
***Credit card and debt collection companies may increase the outstanding balances of your enrolled debts, due to the accrual of fees and interest.***
HOW TO PROTECT YOURSELF: — Make sure that in the quote the debt relief company gives you that it takes into account the accrual of fees and interest over time, and isn’t just based on your balances as of today.
Learn more about how debt relief programs work
Learn about credit card relief programs
Learn about debt validation
