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DebtSettlement4Less.com
Financial Services
DebtSettlement4Less.com is a division of CreditAssist Financial Services.
Frequently Asked Questions
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CreditAssist is a Debt Settlement Company dedicated to representing you and your debt to your lenders including us for the sole purpose of settling your debt at a discount for a fee.
They are experts in the art of negotiating. They are not consumer credit counselors, advisors, or attorneys. They do not consolidate your debt, and they do not make monthly payments to your creditors (unless it is part of a payment arrangement aimed at settling your debt in full).
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As you progress through the program and money accumulates in your savings account, your payments to your creditors may fall behind. These missed payments will show up on your credit report. That's exactly why they encourage you to save quickly and to save as much as possible. The quicker you save and accumulate money, the quicker CreditAssist can settle your debts.
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No. The CreditAssist goal is to reduce the overall amount of the debt, by negotiating agreed payoff amounts with your creditors. They are not in the business of encouraging "more debt."
A debt consolidation company requires you to take a loan to pay off your unsecured debt with secured debt. While there is some short term relief to you associated with debt consolidation, essentially all you are doing is transferring your debt from one creditor to another.
The CreditAssist goal is to make you debt free!
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First, you must have reasonable expectations with respect to what they can do for you. While we are confident that CreditAssist can bring about exemplary results at a lower cost to you, please keep your situation in perspective and realize that you did not get into debt overnight and that it takes time and commitment on both your parts to complete this program.
Additionally, please keep them up to date with your contact information because money settlement offers are time sensitive and they may need to contact you quickly and easily. Any correspondence from your creditors should also be forwarded to them as soon as possible.
Finally, you must be committed to having funds available each month for the monthly deposit into your personal savings account. Remember, more is better! The quicker you save, the faster they can achieve your expected results. With a little discipline, they know you can do it!
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Despite their industry relationships and contacts, they are not in a position to guide you in this matter one way or another. They can only suggest that you think about your situation.
They understand from their discussions with you that times are tough for you, and that even though you may have some funds available, you are having difficulty making adequate payment to your creditors. Making a minimum payment does not reduce your total balance. Creditors will not agree to any settlements until you are at least 4 months past due.
The choice of not paying your creditors is your decision alone. You need to make the right decision for yourself.
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As an additional service to you, the CreditAssist enrollment paperwork included information for third party banking and an application for a personal savings account in your name. Your monthly payment is deposited into this savings account or another account of your choice.
These funds will continue to accumulate as you proceed through this program, minus any applicable fees. When it is determined that you have a sufficient amount saved, they will begin working their industry contacts to get a settlement on one or more of your accounts.
You have complete authority over the funds in your account and no payments, transfers, settlements, etc. will be made without your expressed approval.
Settlements with your creditors cannot be achieved without adequate finds. Again the more money you save, the quicker CreditAssist can get you out of debt.
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More than most, CreditAssist understands that each collection call is a stressful event, and that cumulative effect of that stress tends to wear people down. If you decide to stop making your monthly payments to your creditors, most of them will increase their collection attempts. They understand these tactics. They have worked in back office collection environments. Your creditors will call you and try to collect money from you. When this occurs and if you opt not to pay them, notify CreditAssist and they will get involved on your behalf. Given their knowledge of collections, they can assist in getting these calls stopped.
Additionally, as a debtor you have many rights, specifically through the Fair Debt Collections Practices Act (FDCPA). For information on your rights, please visit www.ftc.gov/os/statutes/fdcpa/fdcpact.htm.
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You were accepted into the program based on your commitment to make a monthly payment or deposit into your savings account. Their negotiating specialists rely upon these payments/deposits to make reliable arrangements with your creditors. Skipping a payment can compromise these settlement discussions and throw your program off track. Ultimately, this possible credibility loss with your creditors may negatively impact their ability to negotiate the best possible settlement for you. It could also force them to suspend or cancel your contract.
Granted, it takes determination and commitment to get out of debt. But you are dealing with the best negotiators in the business and with their help, we know you can do it!
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Your creditors have the legal right to add penalties to your account, such as late fees and interest. CreditAssist cannot stop this from happening. They can however explain your special circumstances to the creditors and suggest to them that they take these circumstances into consideration when agreeing to a specific settlement amount. As former creditors themselves, this type of request is not viewed as unusual.
While they can make no guarantees, they will do their best to eventually reduce your unsecured debt as long as you do your best to stick with the program.
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A charge-off is the point where your creditor is required (by internal policy and government regulation) to write the debt off their books by sending it to a collection agency or selling it. By no means does it indicate that the creditor will stop trying to collect on the debt owed. If anything, the collection letters and phone calls you receive may, in fact, get more confrontational and threatening. Please do not become alarmed by them! This actually is "business-as-usual" in the world of debt collections. CreditAssist is very familiar with this process and well equipped to deal with the original creditor, a collection agency, or buyer on your behalf.
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Yes, but please do not panic! Your creditors have the right to sue to recover their money but, in our experience, the real purpose of a lawsuit is to force a settlement on the matter. Most creditors, like their former employers, would rather not go to the expense of suing when you are in a settlement program that will ultimately benefit all concerned.
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Once a CreditAssist negotiator comes to an agreement with one or more of your creditors, he/she will obtain a settlement offer in writing. CreditAssist will then need you to approve the settlement and authorize payment. Once an offer is accepted, CreditAssist will facilitate the exchange of funds to the creditor as settlement in full. Your creditor will send you a settlement statement for your records.
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CreditAssist representatives are not lawyers nor are they your legal representatives and they do not give legal advice. Given their industry backgrounds, CreditAssist may discuss general matters (information that is available to the public), such as how the Fair Debt Collection Practices Act impacts debtors, but they will never give you specific advice on how to use it or make decisions for you.
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Anyone seriously considering bankruptcy should contact a bankruptcy attorney and see if their situation warrants filing for bankruptcy. At CreditAssist, the clients are encouraged to enroll in our program only if they have the desire and ability to complete the program and feel a moral obligation to repay a portion of their creditor debts.
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No, all credit cards in this program should be cancelled and the cards destroyed. Using a credit card subsequent to enrollment into this program will cause damage to our settlement negotiations with the respective creditor and possibly ruin your ability to get out of debt!
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Their collective banking and financial industry backgrounds have more than adequately prepared them on the importance of keeping a client's personal information confidential. Yes, CreditAssist maintains your confidentiality at all times. They only disclose information to those persons that you have authorized (all creditors that you have contracted them to settle with on your behalf will be contacted by them and advised that you have retained CreditAssist to represent you). All information that you provide CreditAssist is considered highly confidential and personal.
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All creditors are required to report canceled debts exceeding $600 to the IRS and you are supposed to report same as income on your annual tax return. However, the IRS does permit you to write off any "income" from canceled debts up to the amount by which you were "INSOLVENT" at the time. Therefore, unless you have a positive net worth, your incremental tax obligation will be zero. Also, if you do not qualify as insolvent non principal amounts such as interest, finance charges and fees accumulated on the account may be deducted from the amount reported. Refer to: www. IRS.gov, Publication 908
By providing your personal information on this website, you consent to our Privacy Policy and may receive a return telephone call from a Program representative.
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