Frequently Asked Questions

How do I Qualify?

Debt Settlement isn't for everyone. It requires a solid commitment to becoming debt free over a specific period of time (average 1-5 years) until payment is complete. A one-on-one, confidential consultation with one of our Debt Analysts will help you determine if debt settlement is right for you. Go to the free quote page and fill out the form to have a Debt Analyst get in contact with you to discuss our program.

Can't I negotiate on my own?

Consumers can negotiate on their own, though it can be rather time intensive and involves a lot of paperwork and skilled negotiating efforts. Our company has the time, people, processes and systems to get the entire settlement process started and completed for each of our enrolled clients.

How long will it take to settle my debts?

Typically, clients are able to settle all their debts within three years. This timeframe will vary, depending on the amount of debt you have and the payment amount(s) you are able to make.

Who will inform my Creditors?

Payment Relief Center will contact your creditors to let them know that you're on a structured payment plan with us. In severe hardship, creditors are happy to work with debt settlement companies, because you would have likely been headed for bankruptcy, and the creditors would have received nothing.

What happens to my credit?

In our program, creditors can report your accounts as "late," which will likely have a negative effect on your credit score. Once a mutually agreeable settlement is reached with each creditor, the creditors will mark the account as "Settled with a zero balance," "paid partial," "paid satisfied," "paid settled," or something similar.

Will I still pay my creditors while I’m in the program?

Debt Settlement is for consumers who cannot meet their monthly obligations. Once you enroll in our program, you will put money aside once a month into your savings account. Once a settlement arrangement is made between Payment Relief Center and your creditors, you pay your creditors the settlement amount that was agreed upon. The decision of whether to pay or not to pay is entirely at the client's discretion, thus he/she assumes sole responsibility for legal action or "penalty fees" incurred as a result of this action.

Will I still get calls from the creditors?

Payment Relief Center can help manage calls from creditors in a productive manner, but cannot stop your originating creditors from calling. We will inform your creditors to begin contacting Payment Relief Center on your behalf to relieve you of those calls. It generally takes 90 days to redirect the calls, and creditors and debt collectors may continue to call you during the entire length of the program. Systems like "Privacy Manager" can help during this time.

What is the difference between a secured debt and an unsecured debt?

A secured debt is a debt by which collateral is used as a secondary choice of repayment should you fail to meet your monthly obligations. Secured debt includes home loans, auto loans, and loans on recreational vehicles like motorbikes and RV's. Unsecured debt is debt by which you borrow from a creditor to purchase goods or services on credit based on your promise to pay back the creditor, without having to sacrifice any type of collateral. Examples of unsecured debt are credit cards, commercial debt, signature loans, department store cards, and medical bills. If a consumer falls severely behind on on unsecured debt, lenders can take legal action, so it's important to settle these debts as soon as possible.

When should I consider bankruptcy?

Bankruptcy should always be a last resort in solving financial problems, as it is very serious and will stay with you for the rest of your life. This option is for consumers who are in serious financial hardship and for those who generally cannot save even minimal amounts to settle their debt obligations. The negative impact on your credit caused by filing bankruptcy can be overwhelming. Bankruptcy is a short term solution that will create long term problems with your credit.

Did we answer all of your questions?

If your questions have not been answered here, please contact us and one of our friendly Debt Analysts will be happy to provide you with more information.