Debt Relief Programs – New Mexico (NM)
New Mexico Debt relief, settlement & consolidation programs offer you a way to escape credit cards, medical bills, unsecured personal and bank loans, collection accounts, repossessions, and more. If you’ve lost your income due to Coronavirus, New Mexico’s debt management options can cut monthly payments and balances to be affordable based on your budget.
United States Government & State of NM Debt Relief for People Impacted by Coronavirus
The state and government are not offering to waive credit card balances, unfortunately. However, credit card companies are providing temporary relief (click here to see options). For most consumers in the state, a temporary solution is just not enough. For a permanent solution, you can consider debt validation, credit counseling, and debt settlement. New Mexico residents don’t need to file for bankruptcy (BK), but in some cases, BK may be required.
Individuals with $7,500 to $200,000 in total bills have multiple debt relief programs to choose from at Golden Financial Services, giving you the power to make a choice based on what suits you best. Depending on your budget, financial goals, and credit score, all play a part in determining what your best option is.
How to Get Help With Bills in NM
You will not have to talk with an answering service or wait on hold for a long time, IAPDA certified counselors will be available to assist you for free, Monday – Friday 8 am – 6 pm.
4 Best New Mexico Debt Relief Options (pros vs. cons)
Talk with an IAPDA certified New Mexico debt expert at (575) 446-4361. Here’s what you can get:
- Access to the best New Mexico debt relief programs
- Check eligibility in a matter of minutes
- Get a personalized plan to save the most money
- Guaranteed an affordable monthly payment
- Free assistance with enrolling in the option of your choice
- Get a clear understanding of the benefits and downsides to each option
New Mexico Debt Statistics Let You Understand The Problem
New debt statistics reveal that New Mexico has the highest amount of credit card debt in the nation, just above Louisiana and West Virginia. The average credit card balance for New Mexicans is about $8,300.
Do you have over $8,300 in credit card debt? If the answer is “yes,” and you can’t afford to pay more than minimum payments — you’re a perfect candidate for relief, so continue reading.
What’s the solution to credit card debt for consumers in New Mexico?
There are multiple options
Debt Settlement New Mexico
We can help you consolidate payments into one and settle your bills for a fraction of the balance. This option is through a New Mexico debt relief law firm. Loans are another way to consolidate, but to qualify for a loan, you must have a high credit score and low account balances.
Keep in mind; a settlement program won’t pay your creditors every month. However, you will only have to make one payment every month, making it easier for you to manage your bills. That payment gets deposited into an FDIC insured trust account, known as your “special purpose savings account” (SPSA).
Every month as you make your monthly payments, the funds will continue to accumulate in your SPSA. Eventually, there will be enough money in your SPSA for the negotiators to offer to settle your first account.
When a settlement is, you will end up saving approximately 30% of what you owe. If you owe $10,000 on a credit card, that card could get settled for around $5,000, with fees included you could end up resolving the entire balance for a total of $7,000. That consists of all fees and interest.
You need over $7,500 in unsecured bills to qualify for a settlement program. The New Mexico debt settlement program can relieve you of all bills and any collection accounts in around 3-4 years.
Monthly payments can be cut by close to 50% in some cases.
Debt Relief in New Mexico
We can also offer you a validation program that disputes your third-party collection accounts, similar to how an attorney challenges a speeding ticket.
In many cases, consumers prefer validation over settlement because:
- validation is often less expensive
- validation can potentially get the account removed entirely from credit reports
- validation includes a money-back guarantee, so if an account is proven to be valid you get refunded on that account
- with validation, after an account gets invalidated, there are no potential tax consequences
This plan includes credit restoration, for no additional cost.
If you owe $7,500 in credit card bills, the total cost of the validation plan could come out to around $5,000, saving you an extra two thousand dollars from what a settlement plan would cost.
You need to have over $7,500 in combined accounts, including credit cards, medical bills, repossessions, and personal loans. The qualification guidelines are close to the same for settlement and validation plans, besides for a few small differences. For example, a credit card summons and Discover credit card can only get resolved with a settlement plan.
Want to stay current on monthly payments?
Consumer Credit Counseling Programs in New Mexico Allow You to Stay Current:
Consolidate your credit cards with a loan or use a New Mexico consumer credit counseling program, and you’ll avoid falling behind on monthly payments.
The Avalanche and Snowball Method Are Options That You Can Do On Your Own:
You could use the snowball method to pay off your bills faster on your own. Dave Ramsey created the snowball method. It’s one of the fastest ways to pay off high bills without having to use a program and can help improve credit scores. Golden Financial Services created a snowball calculator tool for New Mexico residents to use for Free.
IAPDA certified counselors who specialize in New Mexico debt relief programs are available to help you choose the best plan. Call (866) 376-9846 & Get Your Free Consultation Today!
Here’s what past clients have to say:
Best New Mexico Debt Relief, Settlement & Consolidation Programs
Is your goal to save the most money?
Golden Financial Services recommends debt validation and debt settlement if your goal is to save money.
These plans have a temporary negative effect on credit scores, but will often save a person more than if they were to consolidate with a loan.
Not everyone will graduate from a debt settlement or validation plan. Some people can’t afford to continue making monthly payments until the program is complete.
During your consultation with Golden Financial Services, we will go through a budget analysis with you. Once we figure out your budget, we can then advise you on the best plan for your situation.
We will do our best to put you on a plan that you can afford to pay, one that you will most likely complete successfully.
Debt Consolidation Loans in New Mexico
Millions of New Mexico residents are turning to consolidation loans, one of the most expensive routes to take.
If you decide to use a loan to pay off your credit cards, just make sure the loan has a lower interest rate than what your current interest rates are on your existing cards. And make sure to add in all additional fees that come with the loan to ensure you don’t end up paying more for your debt than what you are currently paying.
What to beware of when it comes to debt consolidation in New Mexico:
- If you choose to use a balance transfer card to pay off high-interest cards, be aware of the up-front fee that comes with balance transfer cards. (it averages at around 3%-5% of the amount transferred onto the card)
- If you decide to consolidate with a home equity line of credit, be aware of the fact that you could lose your home if you fail to pay this type of consolidation loan on time.
- And lastly, be careful if you choose an online lender to consolidate. Online lenders often charge high fees and high interest, resulting in your debt becoming more expensive to pay off. Are you searching for a cheap consolidation loan? Credit unions offer the lowest loan rates. Check with a few local credit unions if your balances are low and credit score is high for a consolidation loan. Notice we say “if your balances are low,” not only if your “credit score is high” because these are the two factors credit unions will check when evaluating whether or not a person is qualified for a loan.
How’s debt validation work?
A validation program challenges a collection agency, forcing them to prove:
- they have all of the legally required paperwork to be lawfully collecting on a debt
- they have accurate accounting and information in their files about the identity of the debtor and alleged creditor
- they are a licensed collection agency
Often, a collection company can’t prove that they are legally authorized to collect on a debt. The debt then becomes legally uncollectible. Legally uncollectible, meaning, you don’t have to pay it!
Additionally, the account can come off your credit. This all makes a validation plan one of the best debt relief programs in New Mexico.
Example Letter, Showing How a Validation Program Resolved a Citibank Credit Card:
If the debt collection company proves the debt to be valid, debt settlement would be the next option to get out of debt.
How does a New Mexico debt settlement program work?
Debt settlement programs can lead to a portion of your credit card balances getting forgiven.
You could have $20,000 in credit cards that get resolved for around $12,000 with debt settlement. New Mexico residents are eligible for a free settlement consultation by contacting Golden Financial Services today at (866) 376-9846.
Validation Vs. Debt Settlement in New Mexico
Late and collection marks can stay on credit for up to seven years with settlement:
After a settlement program, the late marks and collection marks remain on your credit for up to seven years.
Collection and late marks may come off credit with validation:
The good news is that if a validation program can successfully dispute your account and prove it to be legally uncollectible, this can lead to the derogatory marks coming off your credit. After an account is determined to be lawfully uncollectible, a collection agency can no longer legally continue reporting the account on a person’s credit report.
Tax consequences come with settlement:
A settlement plan can also lead to you having to pay taxes on the amount saved in the settlement. If you settle a $20,000 credit card for $10,000, the $10,000 in savings will appear as income. Just like any other income, you have to pay taxes on it. You can avoid having to pay taxes on the savings in a settlement by filing an IRS form 984.
No tax consequence with validation:
With validation, if a collection account is proven to be legally uncollectible and invalid, there’s no tax liability.
Creditors can issue you a summons if you don’t pay your bills in full and on time every month:
There is a chance your creditors can sue you on both settlement and validation. If you receive a credit card lawsuit, you need to either attend court or make sure the settlement company who’s helping you responds to the summons on your behalf. The only time a credit card summons can turn into a judgment where your wages could potentially get garnished is if the summons gets ignored entirely, which no reputable New Mexico credit card consolidation company would let happen.
With validation, you’d get refunded on the account that receives a summons and referred to an attorney who will help resolve it by either settling the account for less than the full amount or by using legal violations to fight the summons and get it dismissed.
If you have all collections, with validation, all of your accounts are disputed immediately. After a collection agency receives the validation package, all collection activity must stop until they prove they are legally authorized to collect on the account, which they often can’t do. That means after accounts are disputed, creditors can’t sue you until they prove the account is valid and that they are legally authorized to collect on it. Collection agencies must produce all of the accurate and complete records being requested through the validation package.
Worst case scenario:
If you join a validation program when current on payments, you’d have to let your accounts fall past due for 60-120 days or until the original creditor decides to write off the account and sell it to a collection agency. During this period, while waiting for accounts to get sent to a collection agency, there is a chance the original creditor could issue a summons on both settlement and validation plans. Discover is known to do this, and for this reason, Discover does not qualify for a validation program.
With a settlement plan, one account at a time is dealt with, giving more time for creditors to issue a summons on the accounts that are just sitting with no action. For this reason, creditors “suing clients” is a bigger problem for clients on a settlement program over validation, but on either plan, it’s not detrimental to the client’s success.
The key is to sign up with a New Mexico credit card relief company that has experience dealing with these types of issues and has a backup plan in place as a resolution if creditors do attempt to sue. Golden Financial Services New Mexico credit card relief programs all include either lawsuit defense or a money-back guarantee, just in case of creditors try to sue a client. Call today to learn more. Our certified counselors are available and ready to assist you today!
Attorney Model Debt Settlement Program in New Mexico
Golden Financial Services can offer you an attorney based plan. Your attorney will provide you legal protection while on the debt settlement program.
Creditors will then have to direct all communication to your New Mexico attorney. If a summons is received, your attorney will respond to it and work to settle it for less than the full amount owed, just like any other settlement.
If you choose debt settlement, make sure only to use an attorney-based settlement program. Golden Financial Services can introduce you to a highly rated New Mexico debt settlement law firm. Loans can also be obtained to help you consolidate your bills, but we recommend using a local credit union when exploring consolidation loans.
Golden Financial Services does not offer any type of loans or refer consumers to loan companies. Still, we do recognize that some consumers will be better off using a loan to consolidate. Consolidation loans can help a person pay off high-interest accounts and leave them with one payment.
Give us a call today, and we look forward to helping you explore all of your options.
How to get help with debt if you live in New Mexico?
New Mexico residents can call the free help hotline at (575) 446-4361.
You can get a consultation with an IAPDA certified counselor who specializes in New Mexico debt relief, settlement, and consolidation options.
What happens during a consultation?
A consultation is purely informational. If you decide to move forward with one of the programs, then we can get you signed up or referred over to the right department.
How fast does it take to get approved for a New Mexico debt management program?
You can be approved within 24 hours or less.
How long does the program take to finish?
You can graduate from the program within 18-42 months, depending on your situation and budget.
Can I get sued?
It is rare for a client to get sued, but it could happen. If it does, the account can still be settled. In some cases, an attorney will use legal violations that your creditor committed and file for dismissal of the debt.
Can I be current on payments and still get approved for a validation or settlement program?
Yes, you can be current on your accounts and still qualify.
If you have real financial hardship and are unable to stay current, these circumstances are sufficient to qualify.
Is the program anything like bankruptcy?
Our programs are the solution to avoiding bankruptcy, so no, this is not a bankruptcy or anything like it. We don’t recommend or promote bankruptcy unless you have no other options.
Bankruptcy shows up on your credit report as “bankruptcy.” Having a bankruptcy on your credit report is what brings all of the adverse side effects. When you use a debt relief plan, it will not show up that you filed for bankruptcy on your credit report.
Can I rebuild my credit?
Credit can always be rebuilt. However, it is most difficult to rebuild credit with a bankruptcy on it. In the United States, more and more consumers are turning to bankruptcy (post-COVID-19 days). Consequently, the average credit score will go down in the United States as 2021 approaches. If you read this message, do not file bankruptcy until at least checking if you qualify for a settlement or validation program. You can rebuild your credit score much easier after a settlement plan, versus bankruptcy.
How much can I save on the program?
Results vary, but clients who complete making all of their scheduled payments will pay less than the full balance owed on each account.
Does a guarantee come with New Mexico debt relief programs?
The attorney-based debt settlement program in New Mexico comes with an assurance of performance. Attorneys are not allowed to use the word “guarantee,” so instead, they offer an “assurance of performance.”
You only get charged a fee if results get achieved with a validation program.
Contact Golden Financial Services today and find out if you qualify for a New Mexico debt relief program.