Debt Can Be Overwhelming.
Did you know, American Households owe an average of 80,000 in Credit Card Debt?
ABC NEWS Suggests: “Settling Your Debts on Your Own”
ABC NEWS says you can settle your debts on your own
“Some consumers have had success approaching their credit card companies directly and offering settlements for less than the total amount they owe. There are signs that more credit card companies are accepting these offers in this recession economy in order to get something now rather than nothing later.”
What Makes Debt Warriors Demand That Debtors Do Debt Settlement “For Themselves”?
Bottom-line, Debt Warriors are (excuse the emphasis) NOT a Debt Settlement Company.
We don’t provide Debt Settlement Services. We don’t endorse, and will never affiliate with any company that provides Debt Settlement Services.
Sure, Debt Warriors are experts at Debt Settlement, but we provide products that share our knowledge, experience, debt reduction secrets, and innovative tools as products.
Debt Warriors provide informative products for people who want to truly learn how to become debt free (for themselves).
We Know Americans are smart enough to settle their debt for themselves.
What Debt Warriors provide are the products (Credit Card Medic and the Debt Warriors Arsenal). And Americans use our products to settle debt, – again for themselves. Our products teach you how to eliminate your own debt in a safe, smart, and reliable way.
As ABC NEWS proved last night, there are good, bad, worse and worst Credit Solutons. The worst Credit Solutions are found at companies that offer Debt Settlement Services. These kinds of companies claim to solve the clients credit and debt problems (for the client).
More specifically, Debt Settlement Companies tell clients that they won’t have to do much work to become debt free. Debt Warriors, know that the only solutions that result in freedom from debt is in the Debtors hands.
The blunt fact is that Americans can, and must educate and manage their Credit, and the resulting Debt – for themselves.
What Are the 5 Worst Credit Solutions?
As Debt Warriors, we know that you are the only person who can get yourself out of debt without filing Bankrutpcy. But below I’ve broken down the Top 5 Worst Credit Solutions in America.
1. Escrow Debt Settlement (EDS) Companies :
For starters, EDS Companies take 15% of your total debt – off the top. EDS Companies sell clients on the notion that the client, can save their money in the Debt Settlement company’s Escrow Account. After 40% to 60% of a settlement amount is available, the EDS Company will start contacting Creditors.
EDS Companies normally use words like “Underwriting” to sell clients to believe that the clients are being “loaned” money, to pay the Creditors on the Clients behalf. EDS Companies, trick clients into believing that the funds in the company’s Escrow Account will be used to re-pay the company for the loan and pay extra for Administrative Services.
While I was at the Bankruptcy Law Firm, one of the things that I was impatient with was helping clients when I knew they could help themselves.
The fact is, that by using secret budgeting formula’s used by Debt Settlement Companies one, can get themselves out of debt in 3 to five years (sometimes less) . The problem with EDS Companies is that it takes up to 4 times longer to use the formula effectively.
The smarter choice is to start your own Escrow Account. If you want to attempt a Debt Settlement, it is a viable option. No-one can honestly dispute that Escrow Accounts work. But without knowing the tested and true formula’s and keywords of Debt Settlement, one could experience the same old failed results – more debt.
2. Non-Law Firms That Demand Power of Attorney Rights
ABC’s NIGHTLINE coverage of Credit Solutions told the story of a bold ex-customer named Karen Moore. For some reason Karen signed with with Credit Solutions.
Karen gave Credit Solutions Power of Attorney – a big mistake. Karen should have consulted with an Attorney, before giving away her Power of Attorney.
3. Fee’s Before Service Companies
There is a big difference between “products” and “services”. A product is something tangible, something you can move somewhere. like a book, Concert Ticket, CD, Video File etc.
On the other hand, a service is intangible until you see the results. For example, getting an oil change. Fact is that almost anyone can do an oil change, but many people pay to have their oil changed or their hair done. The Service Industry provides many valuable services. People pay for services to avoid the mess and the risk of damaging their vehicle or their hair.
In many places in America, it’s illegal to charge a fee before services are rendered.
So why is it that so many Debt Settlement Companies charge massive upfront fees? Because they are the 3rd worst Credit Solutions in the world.
4. Pay To Wait Debt Settlement Companies
I don’t know what mind tricks were played on Karen but she remained a client of Credit Solutions for 20 months. What would make Karen stick with any business for 20 months if that company fails to show any results?
Debt Settlement Companies that offer to settle debt for people, tell client’s to keep paying and wait. This is a mistake. What happens when people pay and wait for someone to initiate action on their behalf? They lose their chance at financial freedom.
5. Create A “Charge-off” Debt Settlement Credit Solutions
ABC NEWS reports that Debt Settlement is only a viable option once ones credit score is considered low.
“Credit experts advise only taking this step (Debt Settlement) if your credit score is already ruined and you have no other viable options.”
As Debt Warriors, we routinely refuse to sell our products to clients who don’t need them.
There are many Do It For You Debt Settlement Companies that sell services which require clients to stop making payments on their Account’s. The goal in this situation is to force a “Charge-off”.
For example one guy called me because he was going to stop making payments on his Credit Cards because he wanted to force a “charge-off” which can force an Debt Settlement. So I did a Credit Card Check-up (aka Credit Card Debt Test). The first question I asked him was,
“On a range from 100 to 800, what would you say your credit score is?”
He quickly answered “about 700″. He didn’t need our products. I informed him to keep making his payments but contact his Credit Card Companies directly to see what could be worked out.
I told him why he should not force a “charge off”.
I wished him luck and hung up the phone. This guy had great credit and wanted me to sell him the wrong product. He needed a video course on responsibility.
We think it’s a mistake to stop making payments unless you have no other choice. Forcing a Charge-off can create years of stress in the future. There are also legal actions that Creditors can take advantage of if they suspsect that a Debtor can, but refuses to make payments.
