When you get burdened by your debts, may it be a student loan you acquired years ago or credit card bills you’ve been stacking up, the best remedy you can opt for to settle it would be to use a debt relief program. Such program would be the most practical and safest solution for you to resolve your financial setbacks and regain your financial freedom.
However, you have to be careful when it comes to using a debt relief program from various companies that offer you this kind of service. Chances are you might fall into the trap of predatory scammers that would rip your money off from you.
You have to be very meticulous when it comes to asking for help from companies that promise you immediate relief from your financial crisis. For all you know, you may end up becoming a victim of a scammer. Crediful.com talks about debt consolidation to give you some tips. The best thing you can do is to check out any debt settlement company with the Better Business Bureau (BBB) for evaluation or look for the following red flags at the initial stage where the company offers you financial salvation:
Sign No. 1: Upfront Payment
If a company is asking for upfront payment, it’s an instant red flag. No company should be paid up front if the service hasn’t been provided yet. Many scam companies will ask for an upfront payment before scamming you. In doing this they take your money and don’t offer any solution to your debt. You have to be aware that it’s considered ILLEGAL for any debt settlement company, no matter how established they are, to ask for an upfront payment for their services.
Sign No. 2: Making Promises
If the company PROMISES you that they can free you from debt slavery in just a matter of days or months, then you have to ask yourself if that is possible. For one thing, that kind of guarantee will be an absolute miracle since to settle your financial liabilities requires the company to assess your financial status and design a feasible plan for this. What could raise your doubts is when they happily assure you of release from your debts without even knowing your situation beforehand. Walk away if this is the case.
Sign No. 3: Low-Priced Services
Another aspect that you have to put on your checklist for assessing the legitimacy of a company would be the price that they offer you in exchange for their services. If it’s too LOW compared with the average asking prices of other companies, then that’s something that you have to watch out for. For sure they can guarantee you the price at the initial stage of assisting you, but, later on, they would present you other services that you may be required to take out at an additional cost. The next thing you know, you’ve been paying more than what you should and your problem, still, has not yet been solved.
Sign No. 4: Non-Disclosure of Terms
For this very delicate matter, ask for a CONTRACT. That’s the standard operating procedure when you ask for help from any organization, most especially if it is a debt settlement company. If the contract does not disclose the terms that you need to agree to and, all of a sudden, the company would advise you to make another move that is supposed to be “beneficial” on your part which it requires another payment, then it’s time for you to cut ties with them. In the first place, what has been agreed upon when signing the contract should bind your agreement with them. Otherwise, additional stipulations are just subtle ways of taking advantage of you.
Sign No. 5: Do Your Homework
Sometimes when you’re so desperate to get out of your financial situation, you’re willing to take risky COMPROMISES especially if your mind is so clouded with worries. Don’t make that call. It would just worsen your problem. Do extensive research on the company that you plan to consult your problem with. Identify if they are affiliated or accredited by appropriate organizations or have been evaluated by established agencies. You can use their evaluation ranking or rating as your basis to decide if you would rely on their help or if you need to look for another qualified and good-standing debt settlement company.
Money matters should not be lightly taken if you talk about debt settlements with a bank or credit institution. This situation is a favorite playground for unscrupulous individuals to have fun with you and play around your weakness. Just be mindful of those indications when scammers have spotted you and are ready to jump on the opportunity to take every single penny from you. Don’t be a victim to one of their tricks. Are you ready to spot a debt relief scam?