Debt Negotiation Settlement - Negotiate Upfront Fees by Using Tips From the Web
One of the biggest complaints that people have against debt settlement is that thousands of dollars of fees is charged upfront without providing any benefits.
The problem has become so acute that the Federal Trade Commission considered banning upfront fees completely and insisting on fees to be charged only when the services have been provided and the waiver has been obtained.
The industry responded by pointing out that completely banning upfront fees will mean that the first payment that the settlement company will get will take at least a few months.
No company can survive on zero fees for such a long time.
This was an impasse that is yet to be solved.
In such a scenario, you can come up with your own arrangements along with your settlement company.
You can get in touch with your service provider and come up with the payment plan that satisfies requirements of both the parties.
The settlement company seeks payment on a regular basis.
You want the benefit before you start paying fees.
Even the installment facility for payment of fees is not going to be of any use if the settlement company withdraws the bulk of the money you deposit for its fees.
You can come up with an arrangement which clearly states that the settlement company will withdraw only half the amount deposited towards its fees and the other half shall go towards the corpus which will be used to obtain the settlement.
Hence, when you deposit money for 6 months, you can be rest assured that at least half the money you have deposited has gone towards your settlement fund and the other half has been paid as fees.
In this process, you can very easily keep track of the services provided by the company and the benefit and the progress that has taken place as far as the settlement is concerned.
If the company has not negotiated even a single settlement deal with any service provider till date, you can opt for reduction in the amount of fees to be withdrawn and you can seek an increase in the amount directed towards settlement.
Most of us feel that no settlement company will be flexible.
Rather, no fraudulent settlement company will be flexible.
Do not allow yourself to be exploited just because you're facing debt problems.
Be firm in negotiating these points and you will definitely enjoy fantastic benefits.
The problem has become so acute that the Federal Trade Commission considered banning upfront fees completely and insisting on fees to be charged only when the services have been provided and the waiver has been obtained.
The industry responded by pointing out that completely banning upfront fees will mean that the first payment that the settlement company will get will take at least a few months.
No company can survive on zero fees for such a long time.
This was an impasse that is yet to be solved.
In such a scenario, you can come up with your own arrangements along with your settlement company.
You can get in touch with your service provider and come up with the payment plan that satisfies requirements of both the parties.
The settlement company seeks payment on a regular basis.
You want the benefit before you start paying fees.
Even the installment facility for payment of fees is not going to be of any use if the settlement company withdraws the bulk of the money you deposit for its fees.
You can come up with an arrangement which clearly states that the settlement company will withdraw only half the amount deposited towards its fees and the other half shall go towards the corpus which will be used to obtain the settlement.
Hence, when you deposit money for 6 months, you can be rest assured that at least half the money you have deposited has gone towards your settlement fund and the other half has been paid as fees.
In this process, you can very easily keep track of the services provided by the company and the benefit and the progress that has taken place as far as the settlement is concerned.
If the company has not negotiated even a single settlement deal with any service provider till date, you can opt for reduction in the amount of fees to be withdrawn and you can seek an increase in the amount directed towards settlement.
Most of us feel that no settlement company will be flexible.
Rather, no fraudulent settlement company will be flexible.
Do not allow yourself to be exploited just because you're facing debt problems.
Be firm in negotiating these points and you will definitely enjoy fantastic benefits.
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