What is Debt Settlement and How Do I Find a Reputable Company?

You've heard the pitch "Call us today, we'll put you on a low-payment plan to re-establish your credit!" What they don't tell you is that most of the money you pay them will never go toward repaying your debt. Plain and simple, here is how their scam works.

Let's say you have $30,000 in debt. The debt settlement company tells you that their fee is 15% of your debt and that they are going to put you on a $200 a month plan. A quick calculation shows that their fee is $4,500. What they don't tell you is that those $200 hard-earned dollars you are paying them every month are not going to your creditors. Instead, all that money is going to the debt settlement company to cover their fee. More tragically, many of these so-called debt settlement companies will not even contact your creditors until you have finished paying their fee, which in this case is almost two years!

So, all along you are thinking that you are re-paying your debt, while creditors are moving the collection forward without you being aware of it! Very often, by the time you finish paying them $4,500, your collections have turned into lawsuits and your calls to the debt-settlement company go unanswered. Worst of all, your credit never got re-established.

We Work Differently!

When you retain FREDERICK DAVID & ASSOCIATES, the first thing we do is contact your creditors. We work with them to arrange a re-payment plan that is equitable for you. We represent you with your best interest in mind and keep you informed of our communications with your creditors at all times. You are an integral part of the negotiation. FREDERICK DAVID & ASSOCIATES is a Civil Court Mediation Firm offering honest and reputable credit counseling services with low no-hidden fees.

We are proud to be a referral resource for our customers. We build our clientele by earning our clients’ trust and satisfaction. In return, they refer us to their friends and family. That is the ultimate recognition and the one we strive for.