Settling Credit Card Debt
Federal debt relief grants were introduced long time back but back then there were a lot of problems that people faced in getting these grants. Most of the people didn’t even know about it and the rest didn’t know how to apply for such grants. Previously when people got to know about these grants they started contacting the settlement companies without even keeping a check on their authenticity due to which a lot of people got stuck with forged companies which charges them with heavy fees and after some time told them that they are not eligible for getting the grant. This way they didn’t have to do anything and also used to get the service fee from the clients.
When this problem was brought into the consideration of the government, it introduced new laws which helped the people in differentiating between the right and the wrong, the authentic and the fraud companies. With the help of those laws the debtors were able to recognize the registered settlement companies and thus save themselves from the forged ones. The highlights of the new laws are as follows:
- No debt settlement company will charge any kind of fee whether it is service fee or any other type of charges.
- The settlement company can only ask for fee when the entire process of settlement has been completed i.e. all the dealings with the credit card company have come to an end and there is nothing more to discuss between the creditor and the debtor.
- In case the client is not satisfied with the deal you have made with the credit card company and thinks that if the company would have put in more efforts he/she would have gotten a better deal, then the client is allowed to simply leave the settlement office without paying any charges to the company.
- The client is also allowed to leave the company without paying anything in case he/she is dissatisfied with the services of the company.
All the above laws are definitely in the favor of the consumer in all respects which means that the government wants to help those who are looking for settling credit card debt in the best possible manner and help them in living a debt free life. Moreover, with the assistance of these laws the consumers were able to judge the registered companies and thus save themselves from being connected with any forget company. These laws have conformed the safety of all those who are finding debt settlement companies to help them clear their debts so that they can also have a peaceful night after a long tiring day. Now it is the duty of the consumer to make sure whether the company he/she is dealing with is following the rules made by the government or not because if the consumer does not do so then it is totally the fault of the debtor as there are some responsibilities that a debtor also should fulfill in case he/she wants to get rid of the heavy debt burden.
One thing that must be kept in mind while applying a company to help you in settling credit card debt is that you must have an unsecured debt of $10,000. This amount is the minimum debt amount which the debtor should have in order to get this grant.