Debt help industry is doing brisk business and it has been able to help many debtors get out of debt. This is true not only for the for-profit making debt help firms but also for the debt consolidation non profit section of the debt help industry. Although the main aim of these companies is to help debtors get out of debt but there is one difference between the debt consolidation non profit agencies and debt consolidation for-profit agencies.
Debt consolidation for-profit versus debt consolidation non-profit
While the for-profit debt consolidation firms help debtors to get out of debt but charge fees for the services they offer, the debt consolidation non profit firms don’t charge any fees. They operate from funds received as donation. However, they may charge a very nominal fee under certain circumstances.
The role played by the 2 sections of the debt help industry is same. These companies will help you to lead a debt free life. This is made possible when they negotiate with your creditors to reduce interest rates and lower monthly payments. You will also get a repayment plan that will allow you to pay off debts in a comfortable manner.
Why has the debt help industry earned negative publicity?
The debt help industry is very busy these days but they are also earning a lot of negative publicity. This is due to the fact that the attorney generals, state regulators, Federal Trade Commission have been receiving several complaints lately. The situation has aggravated following recession when people are adopting unfair means to survive the credit crisis.
As far as the debt consolidation non profit firms are concerned, many have complained that these companies don’t charge any fees directly but a part of the amount you are paying for the creditors goes directly into their pockets.
One of the common complaints regarding the debt help firms is that they are more interested in taking their fees before actually delivering what they promise. Another fear that is making the debt help industry nervous is that companies may be regulated as well legislated so that the incidence of fraudulent activities is greatly reduced.
Description: Debt consolidation non profit firms do not charge fees for offering their services. They operate from funds received as donation.
Debt consolidation for-profit versus debt consolidation non-profit
While the for-profit debt consolidation firms help debtors to get out of debt but charge fees for the services they offer, the debt consolidation non profit firms don’t charge any fees. They operate from funds received as donation. However, they may charge a very nominal fee under certain circumstances.
The role played by the 2 sections of the debt help industry is same. These companies will help you to lead a debt free life. This is made possible when they negotiate with your creditors to reduce interest rates and lower monthly payments. You will also get a repayment plan that will allow you to pay off debts in a comfortable manner.
Why has the debt help industry earned negative publicity?
The debt help industry is very busy these days but they are also earning a lot of negative publicity. This is due to the fact that the attorney generals, state regulators, Federal Trade Commission have been receiving several complaints lately. The situation has aggravated following recession when people are adopting unfair means to survive the credit crisis.
As far as the debt consolidation non profit firms are concerned, many have complained that these companies don’t charge any fees directly but a part of the amount you are paying for the creditors goes directly into their pockets.
One of the common complaints regarding the debt help firms is that they are more interested in taking their fees before actually delivering what they promise. Another fear that is making the debt help industry nervous is that companies may be regulated as well legislated so that the incidence of fraudulent activities is greatly reduced.
Description: Debt consolidation non profit firms do not charge fees for offering their services. They operate from funds received as donation.
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2 comments:
Hi,
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CreditSolution.com
Great post
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