Question: Is Freedom Debt Relief A Good Program?

How long does freedom debt relief affect your credit?

Depending on the condition of your credit report at the time of enrollment, any debt settlement or debt negotiation program, including ours, could negatively affect your credit.

Negative information could remain on your credit report for up to seven years..

What is the cost of freedom debt relief?

After settling your debt, Freedom Debt Relief collects a fee based on your enrolled debt amount, state of residence, and other factors. Fees range from 15%-25%, averaging at 21.5%. We clearly explain our fees to clients before they enter our program, and our fees never go up once our clients begin their program.

Which is better freedom debt relief or national debt relief?

When you compare the two debt relief companies, National Debt Relief appears to have lower fees and serves more states, but Freedom Debt Relief has higher customer satisfaction and much more debt settlement experience. … Both companies use debt settlement to negotiate a lower total debt for their customers.

Can I get my money back from Freedom Debt Relief?

If you would like to cancel, please call the Client toll-free number at 1-800-655-6303 to determine the best option for ending your service. Please note that Freedom Debt Relief does not offer a money back guarantee.

Does the government have a debt relief program?

While the government does not sponsor debt relief programs, it aims to protect the financial safety of consumers and offers other types of financial assistance. If you’re overburdened by debt, you may have been told to seek “government debt relief programs”, but to the contrary, such a program does not exist.

How does freedom debt relief affect your credit?

It hurts your credit: Since you’re required to stop making payments on outstanding debts to enter into a debt settlement program, late payments will show up on your credit reports and your credit scores will take a significant hit, potentially affecting future applications for credit and even employment.

Is debt settlement a bad idea?

Debt settlement is a practice that allows you to pay a lump sum that’s typically less than the amount you owe to resolve, or “settle,” your debt. … Paying off a debt for less than you owe may sound great at first, but debt settlement can be risky, potentially impacting your credit scores or even costing you more money.

What are the cons of debt settlement?

Another downside to debt settlement: you may end up saving only a small amount of money or actually owing more. Your creditors aren’t required to settle your debt, and they may choose instead to take you to court or turn matters over to a collection agency, which will add to your financial woes.

Does debt relief ruin your credit?

Debt relief actions may have an impact on your credit, but it depends on which method you choose. Even if your credit score has taken a hit as a result of financial hardship or mismanagement of debt, it’s not too late to get relief and prevent any further damage to your credit.

How long does it take to improve credit score after debt settlement?

12 to 24 monthsIf you have a poor and/or thin credit history, it could take 12 to 24 months from the time you settled your last debt for your credit score to recover. Either way, you’ll benefit from debt settlement if that means you’re no longer missing payments.

Does debt consolidation ruin your credit?

Consolidating your debt can lower your monthly payments, but it can also cause a temporary dip in your credit score. Two common debt consolidation approaches include getting a debt consolidation loan or a balance transfer card.