Debt Relief Scams




Avoid companies that want thousands of dollars upfront.  Fees should be based on performance and results.  Companies charging a percentage of your total debt and collecting their fees before any debt has been settled should be scrutinized. For instance, what happens if you only settle 50% of your total debt?  Will the company refund 50% of their fees for work they didn’t do?  It is better to pay as you go, not in advance.




Watch out for companies that advise you to stop paying your bills in order to settle your accounts.  The only one that would benefit from that advice is the company telling you to do it.  There are other programs and alternatives that should be considered.  Not paying your bills will have a negative impact on your credit, leave you subject to lawsuits and add additional fees, interest and other costs if you do not have a settlement plan and agreement with your creditors.