Debt Settlement is much different than Debt Management. In debt settlement, the client will be represented by a law firm. The attorney's will negotiate with the creditors to reduce the total amount of debt that the client owes.

The client will make one payment per month. This payment does NOT go to the creditors each month. When the creditors come to a settlement agreement with the attorney, the money is taken out of the account and paid to the creditor. At that point, the account will be paid in full.

Since the payment that the client makes each month does not go to the creditors, the client's credit rating will be damaged. However, we do not enroll customers that are not past due already. That means that all clients that enter the debt settlement program have bad credit already. Keep in mind that the best solution for the client is to eliminate their debt first and build their credit rating later.

The clients may receive harassing creditor calls during the debt settlement process. The attorney's send the creditors a letter asking them to contact them directly, but this does not mean that the creditors will comply. The client is instructed to write down the name and number of each creditor that calls and send that information to the law firm so that an attorney can take appropriate action.

Through the debt auditing program you will also receive a Personal Credit Coach. You will receive an email showing you what your credit score is and if your score went up or down every month along with some tips on which accounts to pay and the balance to make your score increase on a monthly basis. The credit coach also comes with $25,000 of Identify Theft Protection and Fraud Monitoring so if any changes are made on your credit report, they will be sent to you for review so you may make sure that you made these changes and not anyone else. The credit coach is there at no additional cost to you while enrolled in the debt auditing program. It can help you start improving your credit again.