Debt Settlement Questions and Correct Answers

Oct. 8, 2011 - PRLog -- Question one.  Can my credit card companies sue me and what if I get a judgment?

The simple answer is yes, your creditors can sue you and impose a judgment on you that will reflect on your credit report.  If the consumer works with the right law firm, they will contract directly with the customer to provide the debt negotiation services. A creditor can use legal action to get money back from you that is owed to them. If you don't pay them, you violate the terms you agreed to with them, as it likely was in very small letters.

If the track record of a debt settlement company http://taxsettlementaffiliates.com is positively reviewed by previous clients, you’re likely working with a credible lower my bills company. You want to work with a debt settlement law firm that has a great reputation for settling summons, complaints and accounts with judgments. Best settle my debt settlement will negotiate for you and find the best resolution possible.

Question two.  How can I settle my debts on my own?

This questions is often asked by those who think they can get the do it yourself e-book or debt settlement video on YouTube, but the reality of it is, debt settlement attorneys have industry knowledge and are trained to use negotiation strategies that will give you the best settlement possible. It would seem like hiring someone to help you with this type of service would cost you more money, but in reality, consumers find that when the negotiations are complete and their debt is paid off, they have more money in their pockets.

Question three.  I’ve looked at debt settlement alternatives, but I’m afraid that my creditors will just slam me with more interest, fees and penalties.  Can you stop my credit card companies from calling me?

Unfortunately, your medical debts and credit card debts are open to pursuit from the creditors you owe.  This would only stop if you were to declare personal bankruptcy which should be avoided. Until a settlement is reached with your creditors, they can legally continue to charge you interest, late fees and penalties. If you don't make your minimum payments, a creditor can (and usually does) raise your interest rate, dragging you further into debt. Your account balance continues to grow, while your creditor tacks on accrued interest, late fees, over-the-limit fees and penalties. Keep in mind if the debt settlement lawyer can't successfully negotiate an agreement with your creditor, you will have to pay the entire balance.

In an effort to outline your debt settlement savings over the time frame you're comfortable with as well, the payment amount by using a debt settlement calculator.  http://www.bankruptcy-affiliates.com

Question four.  I understand that debt settlement can save me a lot of money if I complete the debt settlement program throughout its term however, will I have to pay taxes on what I save?

After you settle your debt, the amount of money you saved could be reported as income to the IRS. Anytime you save more than $600 on a debt, the savings could be reported to the IRS and show up as a "Discharge of Indebtedness".

Question five.  Do I Have To Settle All My Debts?  http://www.taxdebtnetbranch.com

No, you do not have to settle all of your debts. If you want to keep an account open, you can do so without settling that debt. Then, you can use that account in the future. If you owe a lot of money on an account, we do suggest that you settle that account.  Unlike filing for chapter 7 or chapter 13 bankruptcy where you have to give up everything, you can keep a few credit cards.

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