Get in touch Done With Debt

While creditors can initiate legal action, it's often costly for them. Many prefer to negotiate. If a lawsuit occurs, we can work with you to address the situation and may refer you to legal professionals if needed.

Forgiven debt over $600 may be reported as income. However, if you're insolvent at the time of settlement, you may qualify for an exclusion. We recommend consulting a tax professional for your specific situation.

Most clients complete our program within 12-48 months, depending on the total amount of debt and their ability to make monthly program deposits. We'll provide a personalized timeline during your free consultation.

Debt settlement may temporarily impact your credit score. However, if you're already struggling with payments, your credit may already be affected. Many clients find their credit improves after completing the program and becoming debt-free.

We can help with most types of unsecured debt including credit cards, medical bills, personal loans, department store cards, and some private student loans. Secured debts like mortgages and car loans typically cannot be settled.

Generally, you need at least $10,000 in total unsecured debt to qualify for our debt settlement program. Each individual creditor account should have a balance of $500 or more.

While it's possible for any creditor to initiate legal action against you, it's worth noting that lawsuits can be financially burdensome. As a result, creditors often opt to avoid this route. Certain creditors may employ litigation as a tactic for pressure or debt collection. While we are not authorized to provide legal counsel due to our non-legal status, we do have the ability to remove creditors from your program if they are unwilling to negotiate debt settlements. Should a creditor choose to pursue a lawsuit related to your debt, our services can offer assistance.

You might have to pay taxes on the total of the debt that your creditors have forgiven, however it is doubtful. For any debt forgiven that is greater than $600, your creditors will send you a 1099-C form. Debt forgiveness is considered income. However, you might not be required to pay any taxes on the forgiven debt if you are insolvent at the time we reach a settlement with your creditors. You should discuss any debt that has been forgiven through a debt relief program with your tax advisor.

Anyone in financial difficulty who is falling behind on or having trouble making the required minimum payments to creditors on their unsecured obligations is eligible for the program. You must owe each creditor $500 or more in unsecured debt in addition to having a minimum of $10,000 in total unsecured debt.

Although phone calls are a normal part of the debt settlement process, you are still protected from collection harassment by federal and state regulations. Numerous clients of ours will occasionally get calls from collectors. We provide tools and advice on how to handle those contacts to stop these types of phone calls.