It can be a frightening situation when you start to fall behind in your payments. Falling behind in your payments can lead to devastating situations like home foreclosure, car repossession, lawsuits, and wage garnishments. Don’t allow it to get this far – consult with our reputable Delray Beach debt attorneys to weigh out your options for getting back on track with your debt.
Lenders and creditors are well aware of how costly and time-consuming it can be to file foreclosure and repossession cases, or any other type of collection action. In fact, lenders actually make more money when consumers continue to make regular payments on their debt. It is also much less of a hassle for both parties. This is why lenders are often open to negotiating a grace period or agree to new payment terms to help make it easier for consumers to continue making payments.
What is a Debt Settlement, and Does It Work?
More than likely, you’ve come across an ad on television or on the internet where a debt settlement company offers significantly reduced lump-sum payments to help pay off your debt, in addition to protection from potential lawsuits. Sometimes, these debt settlement companies will even promise that they can improve your credit report. This is typically a scam as they rarely follow through on any of their promises. These companies typically advise consumers to stop making payments on their debts altogether. They will advise that by pausing your payments, you are able to offer the money that you saved as a “negotiated” lump sum settlement to your lenders.
However, lenders and creditors are not required by any means to negotiate with you or anyone else, including a debt settlement company. In fact, if you stop payments, you are basically asking for a lawsuit. Partial payments are better than no payment at all. If you do choose to stop payments, a lender has the legal right to sue. On top of this, you are typically required to pay a weighty upfront fee and ongoing monthly payments to the debt settlement company. And, in some cases, there may even be consequences in regard to taxes that these companies almost never disclose in the beginning.
Experienced Delray Beach Debt Attorneys
When you are dealing with lenders, it can often be a stressful and complicated process. Lenders typically have an entire team of experts working behind the scenes to ensure that they receive the best deal possible. If you are looking for ways to overcome your debt today, then it is essential to contact an experienced and skilled debt attorney who can guarantee that you will get the best solution out of any debt negotiations. Debt lawyers are familiar with the areas in which lenders are likely to be more lenient and potentially give up on.
While there is always the option to reach out to your lender on your own to come to an agreement, this is not usually recommended because you will most likely not get the outcome that you were hoping for. A lender’s team of experts works on cases like this day in and day out, so reaching an agreement with them may only put you in further debt. Every debt situation is different, which is why it is important to have an expert on your side to help evaluate your specific case and circumstances.
The debt relief attorneys at Loan Lawyers have over 100 years of combined experience in helping clients overcome their debt. For more information on our Delray Beach debt relief services, contact us today.