How Credit Card Settlement May Protect Your Assets

Debt is a looming presence in just about everybody’s life. With prices of everyday items and the cost of living continually increasing, it can seem just about impossible to avoid a financial crisis. For those who are already experiencing financial issues, those worries can quickly turn into fear of losing just about everything. The good news is, you do not have to let that fear become a reality. A credit card settlement with us at Liberty Debt Relief may be the perfect way to get out of debt and avoid potentially losing all of your assets in the process.

No Need for Bankruptcy

One of the top benefits of choosing to settle your debts is that you can completely avoid filing for bankruptcy. Bankruptcy should always be the last resort in any financial crisis because along with destroying your credit score, it can also force you to lose your home, car, investments, and many other valuable assets.

Understanding how to protect your assets starts with one simple rule — get help from a trustworthy and reputable expert as soon as possible. By doing so, you are setting yourself up to get one-on-one assistance that helps you get out of debt in a way that works for you. Pursuing debt settlement will convert all of those outstanding expenses into a single owed amount that you can pay off in a way that suits your income and other needs, so that you can spend less time worrying about losing your home and more time staying positive about your path to get out of debt.

Set a Budget You Can Handle

One of the primary reasons people end up losing all of their assets when they get into a financial crisis is that they hear or read that liquidating their most valuable items is a quick and easy escape. The truth is, however, that liquidating the items you love the most is not always necessary. By taking part in credit card, loan, and other debt settlement, you can pay back all of your outstanding balances in a way that works best for you.

The beauty of debt settlement programs is that they create custom payment plans that are scheduled to fit what you can afford. If you use a reliable company, such as Liberty Debt Relief, an expert will even work with you one-on-one to find out what numbers are ideal and will then negotiate those terms with your lending companies. Not only do you get peace-of-mind knowing that you can keep the home you love and the car that you need to get back and forth to work, but you never have to worry about dealing with harassing phone calls or uncomfortable negotiation conversations. We handle that for you!

Get Out of Debt for the Long Haul

The possibility of losing valuable possessions is enough to drive anyone crazy. Choosing to take part in credit card settlement allows you to avoid that mentality because it provides you the opportunity to not only get out of debt for the time being but learn how you can better manage your financial situation for the future. Changing the way you think about saving and spending could possibly prevent you from getting into debt again so that you can protect your assets for decades to come.

With a debt settlement plan, you do not have to pay back the thousands of dollars you owe at once or feel pressured to sell everything you own, as your debt repayment is negotiated based on your needs and those of your lenders. You will also learn valuable lessons along the way, including setting more efficient budgets and how to avoid accruing outrageous interest fees over time.

A Plan that Works for Years to Come

Choosing to begin a credit card and debt settlement negotiation is possibly one of the greatest things you can do for you and your family’s financial future. Along with avoiding losing valuable parts of your life to bankruptcy, such as your home and savings, it provides a sustainable peace-of-mind that you can carry into your relationships and your future finances.

The best way to secure this stress-free solution is to speak with a Liberty Debt Relief financial specialist today.

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Who Will Work with Debt Negotiators?

Debt is no joke, and when it comes to dealing with other companies and lenders, avoiding it seems nearly impossible. Some debts are simply unavoidable, such as medical bills and car loans, while other have a little more variability, such as credit cards and personal loans.

Regardless of what kind of debt you are in, however, there comes a point in just about everyone’s life where they find themselves requesting the help of debt negotiators to help limit their outstanding balances. Not every company or lender is as flexible with their negotiations as the next one, but in general, here is a breakdown of how lenders will work with you and experienced companies like Liberty Debt Relief.

Hospitals — Yes!

Believe it or not, hospitals have specific people in place to act as debt negotiators. Similar to credit card companies, at the end of the day, hospitals want to get paid as much as they possibly can by patients without having to render services through a third party collector. There are also thousands of recorded instances that entail a medical facility overcharging or wrongfully billing someone for medical services. Those fees can come from planned (but not performed) procedures, coding errors, or simply just misprinting information. It is always crucial to carefully sift through medical bills to make sure everything listed for pending payments are actually services you received.

Many hospitals and other medical facilities may reduce a patient’s medical bill by several hundred dollars if the patient simply asks for (and provides documentation of) wrongful charges. As expensive as medical procedures and services are, there are countless people every year who cannot afford medical attention, especially when it is unexpected, and most medical offices understand that. If you choose to use a debt settlement service, the amount you owe can likely be even further reduced by several thousand dollars with no interest.

Credit Card Companies — Yes!

Credit card companies tend to offer a lot of leeway when it comes to your accounts. Most of the time, they simply want any kind of payment for the amount they have lended you. This is often the lender that consumers and their debt relief companies will call first because they are willing to work with you on setting up a payment schedule and interest rate that works best for both of you. Many people find that credit card companies will negotiate debt and minimize the amount they owe by as much as 50 percent of the original cost!

Car Dealers — Somewhat

Trying to get a car dealer to say they will join your credit card companies and debt negotiator to settle your debt is not always simple. Many dealers have very specific rules depending on the state the loan is based in and what the loan agreement entails. However, all car loans offer an option to pay off the total amount you owe, which you can use to your advantage.

The payoff quote is usually a few hundred or thousand dollars less than what you would owe if you continue making payments through the duration of the loan and can save you thousands of dollars in interest rates. The quote is usually available online or by calling the dealership.

Payday Loan Creditors — Not Typically

Payday loans can make a tough situation even worse for millions of people every year. Payday loan creditors pride themselves on offering unsecured loans to just about anybody who has a job and a checking account, but the downfall is incredibly high interest rates and excessive fees that can turn a small loan into a high one within weeks. This specific kind of creditor is also notorious for not working very well with inexperienced debt negotiators, which can make escaping these creditors even more difficult. Your best bet when dealing with any loan creditor is to refrain from trying to take care of it yourself. The more experienced help you can get, the better your finances will be in the long run.

Dig into Research

When it comes to debt, every company and lender has its own rules and procedures. Before you ever sign a contract for any kind of loan or service, make sure to read the company or lender’s policies and procedures for dealing with outstanding debt. Keeping a record of this will help you stay on track with making your payments. If you happen to need a negotiation, contact Liberty Debt Relief today to get the best team of debt negotiators on your side!

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What Happens to Your Money During the Debt Settlement Processes?

With credit card debt at a record high in America, consumers are increasingly considering debt settlement as a solution to their financial woes. But, how does the debt settlement process work? Can anybody qualify for debt settlement with credit card companies? Learning the facts before you begin negotiations can save you time and money.

How the Process Works

Debt settlement can only occur if your creditor has agreed to accept less than what you owe. For many people, this is the best route to financial health. Debt settlement with credit card companies can help you avoid bankruptcy and finally stop the incessant debt collections calls. The debt settlement process can actually take two forms. You can call the credit card company yourself and negotiate a settlement for your outstanding balance. Or, you can employ the services of a debt settlement company, such as Liberty Debt Relief, to negotiate with your creditors on your behalf.

Why Would Your Credit Card Company Agree to Debt Settlement?

In an ideal world, every credit card company would like to recoup the entire debt, plus any interest and fees it accrues. However, if the credit card company determines that you are genuinely unable or unlikely to repay the whole debt, they may agree to a debt settlement.
Creditors may agree to a settlement so that they can recoup at least some of their money and minimize the loss. This process is usually employed after several missed payments and if your account has been sent to collections

What Happens To Your Money During Negotiations?

What happens to your money during the debt settlement process depends on several factors. Firstly, it depends on whether you are negotiating the settlement yourself or if you’ve enlisted the help of a debt settlement company. If you’re negotiating yourself, the short answer could be, nothing, but you will be burned in other ways, such as having few solutions when dealing with creditor calls and the stress of negotiating back and forth. However, debt settlement companies often ask clients to dedicate a specific bank account for stashing the settlement money so it can be ready to be paid to the creditors when the negotiations are complete. This account is often administered by a third party, but you still have access to these funds.

Your lenders can also employ a series of legal actions to help them get their money back. These are:

Wage Garnishment

There is a legal avenue for creditors to garnish your wages or take money directly from your bank accounts in order to clear a debt. But, don’t panic just yet. Creditors can’t unilaterally decide to garnish your wages. This action requires a court order.

Exemptions

Lucky for you, certain forms of accounts or income are exempt from garnishment. These include:

  • Student Assistance
  • Social Security / SSI Benefits
  • Veterans’ Benefits
  • Military Annuities and Survivors’ Benefits
  • Civil Service and Federal Retirement and Disability Benefits
  • Railroad Retirement Benefits
  • Merchant Seamen Wages
  • Federal Emergency Management Agency (FEMA) Federal Disaster Assistance
  • Longshoremen’s and Harbor Workers’ Death and Disability Benefits
  • Foreign Service Retirement and Disability Benefits
  • Compensation for Injury, Death, or Detention of Employees of U.S. Contractors Outside the U.S.

If you can prove that the money in your account originated from one of these sources, that money cannot be legally garnished or frozen.

Considerations for the Debt Settlement Process

Before you start negotiations, you should keep a few things in mind:

  1. Debt settlement companies will charge fees for their services. Never use a company that asks for any sort of payment up front, but also find out exactly how much you will owe them at the end of the process.
  2. Choose your debt settlement company wisely. Some creditors may have a “blacklist” of companies they refuse to work with. Liberty Debt Relief has achieved settlement offers from a variety of lenders on behalf of our clients.
  3. Be wary of any company that makes grand promises of settling your debt for pennies on the dollar. For some, settling for less than half of what is owed is possible, but not for everyone.

Liberty Debt Relief

The experts at Liberty Debt Relief have helped millions of client reclaim the lives and their financial freedom with relief from overwhelming debt. Contact us today and find out how we can help you do the same. The consultation is free.

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Debt Delinquency: What If I Don’t Make An Effort to Pay My Debts?

Americans are carrying record-high amounts of credit card debt. Combine this with relatively stagnant wages and ever-increasing cost-of-living, and you have a recipe for chronic indebtedness. The average American family carries over $8000 in credit card debt and many are often on the brink of debt delinquency.

If you’re struggling with credit card debt and are looking for a debt relief option, you may have started to weigh the pros and cons of not paying off debt vs. settling. You may have even heard that, if you stop paying your debt, creditors may be more likely to offer you a settlement or forgive your debt. However, this topic is highly nuanced. Debt delinquency can mark the beginning of your descent into financial ruin. In answer to the question “What happens if I don’t pay my debts?”, we’ve put together a few important bits of information:

Your Credit Score Will Take a Major Hit

If you stop paying your debt, your financial institution will report all your missed payments and delinquent accounts to the credit rating agencies. These negative items on your credit score can have severe negative consequences on your life. They can prevent you from renting an apartment, obtaining a mortgage, or obtaining much-needed credit in times of emergency. You might even see increases in your insurance premiums.

Accruing Interest and Fees

Don’t be fooled: your debt will continue to accrue interest and fees, whether or not you are paying. In fact, at a certain point in your debt delinquency, penalty interest rates and fees may be applied to your account. These interest rates can be several times your usual interest rate and it can take several months to regain your original interest rate, even if you do bring your account up-to-date.

Calls From Your Financial Institution

If you are just a few days or weeks behind, you may start receiving a couple of calls per day from your credit card company reminding you to pay your bills. The frequency of these calls will increase the longer your account remains delinquent.

Debt Collection

After a certain period of delinquency, usually 90 days, your account will most likely be transitioned to your credit card company’s collections department. At this point, your credit card company considers your account a liability rather than an asset and will employ more aggressive tactics to contact you. The calls, emails, and letters will become much more frequent. Your credit card company may even sell your debt to a collections agency, which may be even more aggressive than the credit card company. Debt collections agencies often pursue any legal recourse available to recover the outstanding money.

Lasting Effects

Let’s say your fortune changes and you come up with the money to pay off your debt. The collections calls stop, the interest stops accruing, and you can finally breathe easy, right? Well, maybe not. Negative items can stay on your credit report for seven years. This means that potential creditors can see these items and they might continue to affect your finances for years to come.

Your Options

If you are currently struggling to pay off your debt, it might be time to contact Liberty Debt Relief and learn how we can help you get your life back on track. Our experts can help you through the tricky landscape of debt delinquency, and and the pros and con of paying off debt vs. settling. Contact us today!

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Debt Settlement for Credit Cards Vs Credit Repair

When you’re struggling with overwhelming debt, it can be hard to get a clear view of all your options. Between debt settlement, credit repair, or even bankruptcy, the details can be confusing. Liberty Debt Relief has been helping customers just like you regain their financial health and move confidently into the future. Here, we’ll cover the differences between credit repair and credit card debt settlement and how each can affect your finances.

What is Credit Repair?

Simply put, credit repair is the process of improving your credit score by minimizing or eliminating negative items from your credit report. Checking your report and going over it thoroughly can help you identify incorrect information, such as late payments for accounts you paid on time. If you do discover a mistake, the next step is contacting a lawyer or financial expert who specializes in credit repair and can help you build your case.

These professionals will be able to contact the credit bureaus on your behalf and work on getting the false negative marks removed from your credit history. The process takes time, and you’ll have to provide proof to support your claim, such as a payment confirmation number when arguing a late payment, but this can improve your credit score. Credit repair, however, cannot get rid of or lower your outstanding debt.

Credit Card Debt Settlement

Settlement is an option for gaining relief from credit card debt or some other unsecured debts. This can only happen if the credit card company or lender agrees to accept a settled amount. Creditors are likely to negotiate when it becomes clear that they will not be able to recover the full debt, usually after several missed payments or an extended period of delinquency. Companies like Liberty Debt Relief can help you during the process and are typically more successful at getting the outcome you are seeking due to years of experience with debt settlement. This process also takes time, but it can significantly lessen your debt (sometimes even cutting it in half).

If you elect to employ a debt settlement company, be sure to get the fees in writing upfront. Never utilize a service that requires any form of upfront payment, as this is illegal and you should receive the assistance you need before paying for services. Liberty Debt Relief does not charge any upfront fees.

So, Which Option is Better?

Deciding on credit repair vs. credit card debt settlement can be tricky to navigate. Of course, if you’re struggling financially like so many Americans today, you should employ every option available to pay off your debt. When it comes down to it, debt settlement for credit cards will help you out of debt, while credit repair can only ensure your payments and debts are recorded properly. On the other hand, if you’re able to keep up with your payments but are just concerned about mistakes on your report, credit repair is probably more appropriate.

Liberty Debt Relief

Contact Liberty Debt Relief today for a free consultation. Our experts can evaluate your specific situation and provide options to match your needs. Regain your financial health and freedom with help from our amazing staff. If you are overwhelmed by credit card debt, medical debt, private student loans, or other forms of unsecured debt, the team at Liberty Debt Relief can help with your negotiations.

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What Is The Cheapest Way to Get Out of Debt?

When the bills start adding up and your financial situation seems to be overwhelming and out of control, finding a solution can seem impossible at first. Luckily, there is plenty of information available from reputable companies and Debt Consultants to help you get out of debt.

At Liberty Debt Relief, we want to make sure that you not understand all the avenues available, including the cost of debt settlement, consolidation, management, and more. Of course, the right and cheapest debt relief path will depend on your particular situation and goals.

Debt Settlement

One of the most popular solutions, debt settlement allows consumers to pay a lower overall amount on the debts they owe. Along with helping people set up more affordable monthly payments, debt settlement negotiations can help people avoid bankruptcy and pay back excessive debt within just a few years. The cost of choosing this debt settlement program depends on what company you decide to work with and how much money you are looking to settle. For many people, this is the most affordable debt relief solution.

The settlement companies who will work with creditors on your behalf require fees to assist in this process. Your Debt Consultant will dedicate a significant amount of time to your case and will often charge either a flat rate or a certain percentage of the amount of money you will save for their services. While the service fee may seem counterproductive, it is just a small cost of debt settlement compared to what you will earn mentally and financially. More importantly, you will only have to pay these fees once your settlement is complete, as long as you use a reputable company like Liberty Debt Relief.

Debt Consolidation

Similar to debt settlement, debt consolidation is another way to achieve financial success quickly and efficiently. Unlike a settlement which eliminates a good portion of your debt, consolidation simply moves the debt to another account. This route does require additional fees depending on whether you choose a debt consolidation loan or a balance transfer.

If you are looking for the cheapest path to debt relief, this is a great option to put at the top of your list. Of course, this depends on your ability to get a loan with a lower interest rate than the ones you already have, as well as your ability to make continued monthly payments. If your credit score is such that a great interest rate is out of reach or if you’re concerned you may not be able to make payments on time, debt settlement is likely a better option for you.

Debt Management Plan

Debt management plans are a combination of getting out of debt and making steps toward financial goals. A Debt Consultant from a reputable company will negotiate with your credit card and other financial companies to get you a lower overall interest rate and consolidate your debts. This particular avenue also provides you with the means to pursue one of the most affordable forms of debt relief available — preventing debt with a sustainable budget and access to endless information.

Your financial advisor will help you understand what makes an effective budget and introduce you to numerous tips and tricks to keeping your debt as minimal as possible over time. Because other plans help you get out of debt in the short term, also enrolling in a debt management plan will keep you from getting back into a similar situation so you do not end up paying even more money for assistance and to your loan companies.

Earn Additional Income

If the thought of paying for an outside expert to help you in your debt relief quest seems a little too out of your league, there is a path that may suffice for those who are not as deeply in debt as others. If you are only a few thousands dollars in debt, for example, it may be worth it to simply earn additional income until you can pay off what you currently owe. Consider getting a part-time job, becoming a freelancer, or even selling some old items — such as clothes, home items, or basement-ridden Christmas presents — to get some extra cash.

If you can earn an extra few hundred dollars every month, you can easily apply those funds to your debt accounts. This will help lower the accrued interest, raise your credit score and ensure that you get out of debt quicker and easier than originally thought possible.

Understanding the Costs of Debt

Though settlement is typically the most affordable debt relief for most people, getting some third party perspective can be extremely useful. Talk to someone at Liberty Debt Relief or another debt expert to better understand what getting out of debt entails and the best and most affordable options for your financial success.

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