How to Get Away From Debt Settlement Companies

Once your delinquent accounts are transferred to a debt settlement company, you will need to arrange a payment plan. If you avoid them and do not attempt to pay off your debts, they will likely take you to court to collect their money, plus interest and penalties. Fortunately, most debt settlement companies are willing to work with you to reach an agreement that will stop repeated phone calls and letters.

Instructions

1

Talk to them. There is no real way to avoid debt settlement companies without breaking the law or ending up with a lien or garnished wages, so it is best to talk to them and try to arrange a payment plan that works with your budget.

2

Dispute the charges. If you do not think you should be held liable for the charges the debt settlement company is seeking, write them a letter challenging their request. If they find that you are not responsible, they will not call or write you again.

3

Consolidate your debts. If you are unable to reach an agreement with the debt settlement company directly, consider consolidating your debts through a private firm. Once the debt settlement company begins to receive money from you, they will not call you in an attempt to collect.

4

File for bankruptcy. Once you file a bankruptcy petition with the court, debt settlement companies are not permitted to contact you in an attempt to collect.

5

Direct them to your lawyer. If you have retained a lawyer to help you with bankruptcy or debt restructuring, request that debt settlement companies contact your counsel. This will raise your legal fees, but you will not longer have to deal with creditors directly.