Nobody wants to file for bankruptcy. A reputable Sedro Woolley debt settlement agency may be able to help.
Let us put you in contact with a debt settlement agency – now – based upon your debt profile and your location, coupled with a couple additional factors. Are you ready to lower your credit card debt?
Debt settlement is the only debt option that reduces your overall debt, rather than just the fees or interest rate. But it’s a contentious process that comes with a good bit of risk.
Debt settlement is not without its drawbacks. To start, your credit card companies may not wish to negotiate. Also, debt settlement will be a whole lot worse for your credit score in the end than paying off your debt with a debt consolidation loan. Ultimately, what you owe will never be paid in full. Since debt consolidation requires trying to repay your creditors each month, debt collection calls should decrease. As any Sedro Woolley debt settlement professional will tell you, this is often far from the truth when you settle for a reduced amount.
It’s important to understand that creditors do have the right to file a lawsuit so as to pursue a past debt. With debt settlement, the chance of your creditors taking legal action goes up. How come? Simply because you stop repaying your creditors each month.
Contrary to popular belief, a debt settlement attorney in Sedro Woolley, WA, doesn’t have the power to keep this from happening.
Card issuers have only so long to go to court for unpaid debt. In Washington, this is 6 years.
For you to be a candidate for a credit card settlement program in Sedro Woolley, WA, you usually need:
- $10,000 in Credit Card Debt
- $300 Per Month For Payments
If you meet these criteria, you’re not alone. We estimate that 2,272 Sedro Woolley residents have at least $10,000 of credit card debt.
If your debt-to-income ratio is more than 50%, then debt settlement or consolidation is worth exploring.
Let’s say you get paid $3,404 each and every month, the Sedro Woolley average. If are forking out under $1,225 for credit cards, loans, and mortgage/rent, you’ve got an optimal level of debt (36%). If you are having to spend $1,259-$1,430, which is 37-42%, you might want to cut down on your spending. If are spending $1,464 to $1,702, which is 43-50%, you’re heading towards critical debt issues, and if are shelling out more than $1,736, you’re in trouble and really should talk with a debt specialist.
Credit card settlement and consolidation/management each have their own benefits and drawbacks. Debt settlement programs result in a decrease in what you owe, and consolidation or management won’t.
These forms of debt relief – for instance consolidation, management, counseling – cause all that many problems for your credit rating ultimately, but these are long term remedies that require you to pay off all of your debt.
Given that it’s the most radical debt relief solution for residents of Sedro Woolley, debt settlement is generally not cheap. The vast majority of settlement agencies will charge you roughly 20 percent of the debt owed – this is a big chunk of change! Essentially they’re forbidden by the FTC from making you pay until a balance has been settled.
It’s possible you’ll come across attorneys that offer debt settlement services. Most attorneys will charge you some sort of retainer, combined with a monthly charge. The problem is that they are entitled to a percentage of the debt they save you, typically one-third. This is normally more expensive than a debt settlement company. Simply because this person is a legal professional doesn’t mean they will be able to stop credit card companies from taking things to court.
- WA Debt Settlement Firm? Contact us!
Debt Collectors: Sedro Woolley, WA
- None Listed.