Negotiate a Debt Settlement
debt settlement answers?
I would like to learn about debt settlement. Please let me know of a company that is available that explains the debt settlement process.
Public Comments
- I had the same issue when I was having some credit trouble. I found a website that gave me a lot of answers, they may help you. They also have a program you could try. The page is http://www.adsdebtsettlement.com/
- Theres' really not a whole lot to learn here. Someone owes money, They don't pay, the business tries to collect, they can't. They contract the debt to collection agency, Collection is unsuccesful, eventually the original creditor writes off "on account, debtor still legally owes money. That's when you come in, buying the debt for pennies on the dollar, and contact original debtor to provide an opportunity for them to "settle" the account for a lesser amount. (depending on how much profit you want). You will need a hefty amount of cash to start, you won' t be able to buy a "couple" of accounts. They are sold in huge batches of thousands at a time. Compettiton is stiff and difficult to break into the business. Big debt settlement firms tend to have contractual aggreements set up already with the big acocunt holders. (sears/walmart/big banks/credit card companies etc). The best way to start is to find local "mom and pop" stores. They would be happy to get immediate cash (pennies on the dollar) in hand from you, in exchange to get rid of a dead beat debtor off their books. Educate yourself in collection laws to stay out of legal hot water before you contact debtors.That's it. Good luck. I work at a Major Law Firm.
- Debt settlement is when you and the company agree to settle for less than the amount owed. Usually you have to be behind for a long period of time and the debt has been turned over to collection. The collection agency makes an offer to settle the debt for less than the full amount if you can do it by a certain date. The difference in what you pay and what you owed is reported to you on a form and you have to pay taxes on it.
