As most of you know I am Certified by the
National Foundation of Credit Counselors. (NFCC).
In the world of credit Counseling this is considered the
“IT” certification. Posted on their website

NFCC-Questions To Ask When Considering Debt Settlement is
information about debt settlement programs and a list of questions
to ask a debt settlement company before enrolling.
Here is a list of the questions, and following
each question is their question and my comment. I think you will
find it very helpful, especially if you or someone you know
is considering debt settlement to become debt free and
avoid bankruptcy.

· Review the company’s record with the Better Business Bureau
as well as there state Attorney General or Commissioner of Banking.

My Comment: Do not be hung up if the company is not a BBB
member. The BBB logs complaints against all companies,
whether or not they are members. You can also try a google search
like “Complaints against XYZ company”. If you see complaints,
ask the counselor directly about them.

· Select a company that is affiliated with an
industry trade association which holds members accountable
through accreditation.

My Comment:Many Credit Counselors work as small
companies. Affiliation is good, however, realize that,
for example, a membership can be expensive, TASC, which is
the Association of Debt Settlement Companies, costs
250.00 dollars per month. A company can follow TASC
guidelines, without being a member.

· Confirm that the account holding your deposits
is FDIC-insured.

My Comment:This is a good question, but an additional
question might be if funds are held in an attorney escrow account
is that account protected?

Obtain all disclosures in writing, including a
good faith estimate of costs associated with the settlement.

My Comment: This is absolutely essential. You need to
be provided in the agreement itself, a breakdown of exactly
how much money is going to escrow for settlements and how much
for fees. What is the dollar breakdown not just an overall
pecentage.

· Inquire about refunds of any money on deposit should
you wish to drop out of the program.

My Comment: Generally, many good companies will
breakdown how the fees are earned and the pro rated return policy.
All funds held in an escrow account mist be returnable to
the client-since it is your money set aside for settlements,
period. Also, a good settlement company or settlement lawyer
will apply you fees to a bankruptcy proceeding should things
change and you find yourself having to file a bankruptcy after
the program has been underway.

· Be cautious about promises or guarantees that seem
unrealistic.

My Comment: Make sure what you are told is
stated in plain language in the agreement. Very simple.
Most settlement companies will not represent you if you
are sued by a creditor before the account is settled. Make
sure you know how that issue will be handled should it occur.
This is a very important point Do not gloss over it.
You should not have to ask many of these questions, a good
program will give you the answers before you ask.

Have more questions? We have answers. We also
have an extraordinary debt settlement/debt validation program
which may well be the best ever. If you would like to
know more, simply visit:
DEBT SETTLEMENT WITH VALIDATION.
While you are their please feel free to subscribe to
our FREE, Credit Counseling Newsletter.

Written By:
Steven Ciantro
Member National Association of Certified Credit Counselors
American Debt Enders
Help@americandebtenders.com
877-766-2465