Understanding the Process of Debt Settlement
Debt settlement, in a nutshell, is the process in which you negotiate with your creditors to reduce the amount you owe them. This may take place with credit card companies, medical providers, or even department store accounts. Instead of paying back the entire debt owed, we can reach an agreement that will modify the debt to a more manageable level. How we do this differs from other approaches that we’ve seen out there. Some collectors may tell you to stop paying the accounts for a couple months or years. With that approach, you would incur additional fees and penalties while being harassed by the collectors who are pursuing this collection matter. By using that methodology , we are playing with the clock and wasting time while the age of the account can be used in your favor. Instead, what Century Legal Group does is take a few months, depending on the provider, and while you make agreed upon payments to the client direct, we advocate for you to the creditor. Paying them directly, rather than through us, prevents the creditor from trying to enforce its rights against you, specifically through litigation. Once the debt is at the level that can be taken care of by us, then we take over and negotiate on your behalf to settle the debt.
The Benefits of Debt Settlement from Century Legal Group
Choosing Century Legal Group is a decision based on proven success. The world of debt settlement can be not only long and cruel but costly as well. One needs a fighter in their corner to lead the charge and make sure the deal at the end is favorable.
In the hands of most law firms, debt settlement is often a nightmare. Most law firms that offer debt settlement programs are doing it in a very cursory way. Their attorneys might do what they consider the bare minimum stated in the disclaimer or what the debt settlement industry suggests in order to "stay out of trouble." In doing so, the attorney will still have some success because most credit fools will jump at the chance to settle for pennies on the dollar when faced with litigation or in full pursuit of garnishment. There is nothing that scares creditors and debt collectors more than an attorney representing their client. The creditors and collectors know that the attorney knows and understands their tricks, their games, and their threats. The creditor knows that if they make any mistakes, committing perjury or misrepresentation, that a judge will not look down on them. In fact, the attorney may even witness the debtor go from a being a former victim of bank fraud to being a hero before a judge. The judge is now willing to grant the debtor some level of justice that they never knew existed before. In fact, when the chips are down, courts can can be friendly. The judge knows that everyone has a history and that most of us have some type of dusty credit record. Judges can see that some rules are bent and that banks and lending institutions will try to show up our clients in a bad light. There have been cases where judges have awarded our clients thousands of dollars in damage awards just because the judgment creditor has made mistakes during the life of the case. At Century Legal Group, we do not play around with frivolous or dubious litigation. Our attorneys are the vanguard, the bulwark of our client’s financial choices. Our approach is straightforward and direct. We don’t play games; we are not interested in helping you stretch out the litigation process. We are looking for a quick resolution, and for an effective resolution. We are a results oriented firm. We do not over promise and under deliver. While we cannot guarantee that if you hire us, we will win every case, we can guarantee that we will take every case serious, and we will work closely with you and your budget.
The Five Stages of Debt Settlement
When you come to Century Legal Group for debt settlement, you can expect a comprehensive explanation of how to proceed with debt settlement. As part of the free consultation, I will answer all questions and explain how debt settlement can help you eliminate your debts in 2-4 years depending on your case.
Once you have hired Century Legal Group to settle your debts, I will be directly working with you on such matters as preparing for creditor calls, negotiations on settlement offers, and most importantly the analysis of the responses you get from creditors once a settlement offer has been made. After our approach to the creditor has been made, both verbally and in writing, we will either receive a counteroffer or a verification of the creditor’s debt claim. In some instances we will receive an offer of settlement, which will then be reviewed with you in order to finalize the procedure.
I will forward to you all responses from the creditor, usually done the same day it is received. It is important to remember that with settlements, time is very important, as creditors are not required to wait for our offer nor are they required to accept an offer. The sooner we respond to a creditor’s claims; the sooner we get an offer of settlement.
How Debt Settlement will Impact Your Credit Score
A common question among those who are considering debt settlement is how will the process affect my credit and can Century Legal Group help me fix it later. The truth is, every time you miss a debt payment that amount can be reported to all 3 major credit bureaus (Experian, Equifax and TransUnion) as a "Missed/Could not locate…" which means the creditor had an issue getting the debt payment and at this point they began reporting the missed payment(s). The longer you miss the payments the worse your credit score gets, however sometimes people just cannot make the payment and are kicked off the payment plan … So what can be done to fix it? Century Legal Group can often times dispute what occurred on your credit report with the creditor and in exchange for a settlement of the debt they will work with you to remove the negative reporting on the credit bureaus, however this process cannot be guaranteed. So be careful and realistic when attempting debt settlement, if there are already negative reporting on the credit bureaus or have been missed payments, it is unlikely the creditor will feel inclined to work with you.
Client Reviews and Feedback
Real-life Success Stories: How Century Legal Group Helped Clients Settle Their Debt
"Kevin with Century Legal Group helped me settle the $20,000 balance I had due to an injury that resulted in 20 surgeries. He and his law firm negotiated the payoff to $3,000. I had no idea I had any connection with Century Legal Group until they reached out to me for a survey. I looked into what kind of law firm they are and admired how well they take care of their clients. Kevin was an exceptional lawyer. I will forever be grateful for Kevin and his support through this process."
"When I fell behind on my credit, I didn’t know that Century Legal Group was a law firm with lawyers that would act aggressively for their clients or that their team was comprised of seasoned professionals. My case manager made sure to explain everything to me along the way. I got a positive outcome , and the attorney assigned to my case got me a lower payment plan than any other consumer law firm."
"I hired Kevin with Century Legal Group because I was being sued by a debt collector. He negotiated the balance down to 30% and saved me from having to go to court. I appreciate Century Legal Group for handling my case quickly, and I love that they are completely online! All documents were sent by email, so I never felt pressured into submitting something without understanding it."
"I was being sued for an unpaid credit card bill, and after settling my case the amount owed went from $680 to $200. The attorneys and staff were persistent and did a lot of the heavy lifting. I didn’t have to worry about writing my own letters or making phone calls. I will recommend them to others!"
Legal Aspects of Debt Settlement
Legal issues are of paramount importance when dealing with debt settlement. Century Legal Group ensures that all necessary legal considerations are taken into account, providing peace of mind to our clients that they will not be taken advantage of, not even by legal loopholes. First and foremost, our lawyers apply the law to your specific circumstances, protecting your rights throughout the process.
One of the main legal aspects at play in any debt settlement arrangement is the law pertaining to collection agencies. Century Legal Group is a legitimate law firm that gives clients a variety of choices for resolving their debts. We can provide you with legal advice, and negotiate settlements with creditors on your behalf. Many people think that it’s less costly to work directly with creditors, or with collection agencies, but this is not always the case. The law is very much on your side, if you work through a lawyer or other legal entity. For example, the law states that creditors may only contact a debtor during normal business hours, and creditors may not contact a debtor when the debtor is represented by a lawyer (and has provided the lawyer’s contact information to the creditor). Oftentimes, creditors will ignore these laws, and anyone who has tried to deal directly with creditors knows how upsetting and harassing it can be to receive many calls at all hours from creditors or collection agents.
At Century Legal Group, we know that only too well, which is why we act as intermediaries and deal directly with creditors on your behalf. When creditors are informed that they are dealing with a law firm, there are many things they will not attempt or attempt to do, which they would if dealing with an individual debtor directly. For example, creditors will not contact individuals during off-hours, while they are eating with family or while they are at work. Creditors understand that they must deal with our lawyers during regular business hours, and must respect the wishes of our clients. When you are trying to recover from too much debt, the last thing you need is to be hounded by creditors at all hours, and that is one legal consideration that often gets overlooked by debtors.
Our lawyers are able to advise our clients of all the legal considerations involved in debt settlement so that there are no surprises. Experienced lawyers such as those at Century Legal Group understand that creditors can be very difficult to deal with, and we give our clients the confidence to face creditors when they are being harassed or intimidated. It is always best to work through a lawyer.
Frequently Asked Questions on Debt Settlement
We have a few choice answers to questions that we’ve been asked in the past about the process. Some general and a few specific, but all easy to digest.
What security do I have with Century Legal Group?
When you settle your debt with Century Legal Group, you sign an agreement (the settlement) with both Century and the creditor. If either party fails to live up to their end of the agreement, you have legal recourse.
How much will I have to pay in fees?
Our fees are based on the debt types and amounts. For unsecured consumer debts, it is 9% of the settled amount. This includes a one time $75.00 set up fee which is included in the 9% . It is also offset against the settlement amounts so we get paid from the creditors as they settle your account(s). There is no out of pocket fees or monthly fees. You only pay your settlement amounts. All other fees are taken from the creditors when they settle your accounts. There are no hidden fees.
How long will it take for me to settle my debts?
In general term, it takes 36 months to settle accounts. It can take longer and we’ve seen it take shorter. It really all depends on how soon your creditors are willing to negotiate with us, how far they’re willing to go with the offer, and all of their terms.