Frequently Asked Questions
We offer two different programs for helping you with credit card and unsecured debts. Debt Management is one of the options and Debt Settlement is another. See additional FAQ questions for the specifics of each program.
A Debt Management program is typically the best for individuals with more than $5,000 in credit card debt. These individuals have a source of income and are able to make debt payments each month, but are either falling behind due to high interest rates or increasing payment demands. The program is best situated for those individuals that are no more than 3 months behind on payments up to being current. The debt management program will consolidate your unsecured debts into one monthly payment. The payment will typically be a reduced amount (from what you are currently paying), interest rates will be lowered by up to 50%, late fees and over-limit fees are typically stopped once on the program after a few payments, and this program does not factor into your credit score. This program also stops collections procedures once your first payments have been made. A debt management program will typically have you debt free in 4 to 6 years depending on your payment amount and interest rates.
A Debt Settlement program is typically the best for individuals with more than $10,000 in credit card debt. These individuals have a source of income and are able to make some form of debt payment each month but are either seriously behind on payments or are considering bankruptcy. The program is best situated for those individuals that are more than 3 months behind on payments. The debt settlement program will consolidate your unsecured debts into one monthly payment. This program will typically help you to settle your debts for 50% to 60% of the original amount owed and will help you with a lower monthly payment. This program will have an impact on your credit score, but is best situated for those whose credit scores have already been impacted by late or missing payments. A debt settlement program will typically have you debt free in 2 to 4 years depending on your monthly payment amounts and your total outstanding debt.
There are a number of options for Student Loan relief and many of those options depend on whether your student loan is a federal or private loan. Our experts can walk you through the available options and help you determine what is the best for your individual situation. The possibilities range from refinancing, loan relief, loan settlement and loan forgiveness. As your financial situation is unique, finding the best solution depends on your goals, your debt amount, your budget, and your credit rating. Our specialists will help you identify the best solution for your individual situation.
There are several options for Tax Debt relief depending on what type of tax debt you are struggling with (State or Federal) and your personal situation. Possible options depending upon the type of tax debt are: Installment agreement (arranging for a monthly payment plan versus lump sum payment), Offer in compromise (this is like a debt settlement plan for tax debts where you arrange to settle the debt for less than you owe), Currently not collectable “CNC” (if your financial condition is such that tax collections would force you into crisis mode they may stop collection proceedings until you are in a better financial position). Our specialists can help you identify the potential options based on your individual situation.
With Credit Repair, you work with a company that has a lawyer on staff. The company will pull your credit report and help you identify errors or mistakes on your report that have been placed there incorrectly (please note that if you have negative items on your report that are accurate, a credit repair company cannot legally get them removed). Once mistakes and errors have been identified the company will work with you to provide documentation disputing those items. The company will then work with the credit reporting agencies to determine if the items in question should be removed.
All consultations are entirely free. You will not be charged, nor have any obligation in your initial consultation with an expert for any of the possible financial solutions. If you are interested in signing up for one of the programs, the fees for that program will be explained upfront in the consultation and you will be able to decide whether or not that will work for you. No fees are ever paid or required by Reality Debt Solutions.