Know New Debt Settlement Laws Before Availing Debt Settlement Services

July 4, 2011 - PRLog -- The debt settlement industry is now much more reliable with new debt settlement laws. These new laws are expected to be more beneficial to debtors and will save them from paying large fees upfront. The federal trade commission has recently passed new rules to reform the debt settlement industry. This is good news for the debtors and would be beneficial to the whole debt relief process.

According to the new rules debt relief companies will not be able to charged advance fees. The companies will be getting paid for their services but will not be allowed to collect any fees from debtors until they successfully settle the debts. This new law will drive out many unreliable debts settlement companies out of the market. Only well established and reliable settlement companies will only be able to do business with the implementation of these new laws.

Know More about Debt Settlement Laws Herehttp://www.loansstore.com/debt-settlement/new-debt-settlement-laws.php

The ban on advance fees is very relieving news for people facing large debts. Hence, the consumer taking debt settlement process now will have very less risk. The days when debt Settlement Company used to charge large fees upfront without getting any actual help in debt relief are gone. Only those companies which provide significant debt relief services will be able to survive and will get payment only after the successful completion of debt relief program.

Large well established legitimate debt settlement companies having enough capital will only be able to deliver benefit from this new legislation. With the new rules all the small and undependable companies won’t be able to survive. Debt relief is the most apt alternative to bankruptcy but all debtors are not eligible for the program. In order to qualify for the debt settlement program the applicant must have at least $10,000 unsecured debt and should also be able to provide plausible reason for the financial hardship. There are also many free debt relief networks that help consumers to find TASC certified debt settlement companies with free debt relief consultation. You can find many such consultation companies online. Always check the credibility of any type of service you avail from internet.

You can get more useful information on credit card debt management services and other debt relief service by visiting highly reputed online service providers like LoanStore.

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Debt consolidation company provides free debt consolidation help and advice with credit counseling facility to consolidate credit card debts and get out of debt quickly.