There are many debt relief companies promising to help you. While most of them are legitimate, there are some that will attempt to scam you and try to get your money while you are down on your luck and desperate for help. There are some common sense ways to identify whether or not a relief company is there to care for you or just looking for a quick buck. With all of the people who have problems paying off their debts, it becomes easier for companies to scam unwitting folks. Many fraudulent companies trick you into excessive payments and promise to reduce or pay off your debt obligations with no action. Listed below are some of the ways for you to identify these companies and their false debt relief practices.
Don’t Believe Everything You Hear
Some of the scams these companies use is to tell potential customers that their debt may be entirely absolved without even looking at their budget or discussing their financial situation. This is a huge red flag! Creditors, particularly the IRS, will almost never forgive the total debt you owe, but usually remove a portion of the debt. Like you’ve always heard, if it’s too good to be true, then it probably is. Also keep in mind that just because you read something on the internet, such as the CuraDebt scam, it’s important to verify that it’s not just a competitor trying to disparage a quality company.
You may find debt relief companies that embellish some of their capabilities, but if you find a business really exaggerating their abilities and making false claims then you should walk away. When you look for a representative or advisor to help you with your debt, it is highly recommended that the individual be certified or has advanced education in that area. A useful tip is to verify customer testimonials and read reviews from reliable online sites.
Inquire About All of the Details
If you have outstanding debts from the IRS, State government, credit cards or other creditors and are looking for expert advice, be sure to ask questions about the debt relief company, their methods and what to expect from them. Before you meet with them write down all of your questions to verify they have your best interest at heart and can successfully resolve your case.
Responsive to Your Needs
A responsive debt relief company will communicate with the IRS or other debt collectors and ensure that you do not end up paying more debt and late fees than you are obligated. When you discuss your situation with a potential debt relief company, find out what resolutions they provide and be sure to meet with another firm if you aren’t comfortable with their answers.
A highly competent debt relief firm will help provide you with immediate relief from your creditors. They may file a power of attorney with the IRS to handle all future communications or send letters to your creditors to cease their harassment of you. If the company you work with doesn’t provide instant reprieve, you should rethink your decision and possibly hand your debts over to another business.
As a quick reminder, before you hire a debt relief or debt settlement company:
- Get an estimate of the fees associated with the program and have them put all disclosures in writing.
- Ask about your right to cancel the program and receive refunds on the money you spent.
- Be wary about guarantees or promises that seem too good to be true.
- Do your research about the company you are working with and examine their testimonials and reviews. If they have very few online reviews then choose another company. Also double check Curadebt scam and possible misleading information.