CREDIT CARD DEBT SETTLEMENT

[Max W]

I have had a few clients over the last year that asked me if I could refer them to a company that specializes in Credit Card Debt Settlement.  I don't know of any and would like to know if anyone here, or their client,  have any information they could pass along.    Most of what I have heard in general about these companies in the past, has not been favorable.

TIA

[Tax Prep by Deb]

They need to go to a not for profit debt counselor.  Or they can call their card companies direct and negotiate with them. 

[Jack from Ohio]

13 hours ago, Max W said:

I have had a few clients over the last year that asked me if I could refer them to a company that specializes in Credit Card Debt Settlement.  I don't know of any and would like to know if anyone here, or their client,  have any information they could pass along.    Most of what I have heard in general about these companies in the past, has not been favorable.

TIA

Those are scam companies.  Send them to an actual debt counselor like suggested by Deb.  Otherwise, they stand to lose a lot of money and increase the level problems they are having.

[Max W]

I found this.  It is a list of Debt Counselors approved by the Dept. of Justice.

https://www.justice.gov/ust/eo/bapcpa/ccde/CC_Files/CC_Approved_Agencies_HTML/cc_california/cc_california.htm

[Janitor Bob]

Those scam companies just do the same thing that you or I can do with our credit card companies...on behalf of the cardholder, they negotiate a reduced debt amount if the amount is paid in a certain period of time...the credit card companies will usually remove interest and fees if all or part of the principle balance is paid in full.  The scam company will then charge the cardholder a percentage of the amount written off by the card company.  Credit card companies will just as easily work directly with the cardholder.