What do you think of seeking the help of a debt settlement company to pay off debt? Let me explain how it works. You stop paying your creditors for a certain period of time and you give money to a debt settlement company for a certain period of time. The debt settlement company places your money in an account. After the debt settlement company accumulates a certain amount of your money, it contacts your creditors to settle your debt for an amount that is less than you owe. Then, the debt settlement company pays your creditors and you debt is settled.
The advantage of debt settlement is that you pay less money for a debt. Your monthly payments to the debt settlement would less than the monthly payments you would make to your creditors.
The disadvantage of debt settlement is that your credit score drops while you are not paying your creditors. Another disadvantage of debt settlement is that some creditors might not allow you to settle a debt less than the amount that you actually owe. Moreover, your creditor may report on your credit report that you debt was settled less than the amount you owed.
Is it unethical to try to get a debt settled for an amount less than the amount you owe?
The advantage of debt settlement is that you pay less money for a debt. Your monthly payments to the debt settlement would less than the monthly payments you would make to your creditors.
The disadvantage of debt settlement is that your credit score drops while you are not paying your creditors. Another disadvantage of debt settlement is that some creditors might not allow you to settle a debt less than the amount that you actually owe. Moreover, your creditor may report on your credit report that you debt was settled less than the amount you owed.
Is it unethical to try to get a debt settled for an amount less than the amount you owe?