Finally, credit card debt relief is now in reach for all Americans no matter how deep they are in debt. The ensnarement of credit card providers have been too long and has trapped too many consumers in their high interest. Debt relief program has recently increased in the news. However, there are always people who are taking advantage of those who are seeking help. To help people spot the scams from the legit ones, the Federal Trade Commission has warned Americans to stay away from companies that make untrue claims:

• That unsecured debts can be paid off for pennies on the dollar. Whether your lender accepts partial payment of your legitimate debt only depends on the lender. Debt relief companies have no control whether or not lenders accept this. Your best bet is to contact your lenders yourself and tell them the truth that you are struggling to make payments.

• That there is a requirement of substantial monthly service fees and demands you to pay a percentage of what you have saved because of them.

• That stop making payments to your creditor and stop communicating with them is compulsory. If you stop making payments on credit cards, you will be charged late fees and more interest will be added to the amount you already owe. Also, it will hurt your credit score badly.

• That you will never be sued for not paying your unsecured debts. The fact is that they can do it to recover the money that you owe them. If that happens and they win, they will have the right to take away your wages (or part of it) or put a lien on your home.

• That accurate negative information from your credit report can be removed. The only information that can be disputed and removed is if it is inaccurate. If the information is accurate and timely, no company or person is able to remove this from anybody’s credit score.

Popularity: 1% [?]