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DEBT SOLUTION PROGRAMS
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Your information will always remain confidential.
We know debt! We offer education on various programs. Most companies only offer one.
Below is an easy description of the differences in programs.
Debt Consolidation:
If you have $15,000 in unsecured debt at an interest rate of 18%,
are making minimum payments, you can expect to be out of debt in approximately 64 months with a payment of
approximately $345 (includes monthly processing fees) for a total of $22,080.
Advantages:
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Some creditors will reduce or eliminate interest rates. Reduction in
interest rates depend on individual creditor policies and your charging and
payment history. The average interest rates you can expect will be between 8-10%.
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All of your payment dates are adjusted to one date in the month so that you
make one payment/month. Your monthly payment is determined by the specific
group of creditors you include in the program. Average payment works out to
approximately 2.2% of you debt. Most of the time this can be lower than your
current minimum requirements, however, it can be more.
Disadvantages:
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Monthly payment is fixed by the creditors and it is your responsibility
to make your monthly payments every month. If you miss payments you will be
disqualified from the program and the creditors will set your interest
rates back to the higher rates and may add fees. In addition,
you may not be eligible for consolidation benefits for 5 years.
How to Qualify:
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Provide your CDS agent with a list of creditors.
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CDS agent will provide you with the required monthly payment.
If you can handle the monthly payment then....
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CDS agent will send you the required paperwork.
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Fill out paperwork.
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Make timely, consecutive monthly program payments
and continue to make your monthly payments. You will continue to
receive statements from your creditors which will reflect your adjusted
interest rates and payments.
Debt Settlement:
If you have $15,000 in unsecured debt at an interest rate of 18%,
are making minimum payments, on average, you will end up paying approximately $9,750 to settle the debt.
Advantages:
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You can expect to pay approximately 65% of what you owe when all is said and done.
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Your monthly payment is flexible. You will be given three monthly payment options.
Your program monthly payments will go into the Attorney's Trust Account and
will serve as an important tool for negotiating your debts.
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You are assigned to a CDS Settlement Representative who will insure you have the
tools to ward off creditor contact during the negotiation process.
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You will be provided with a secured on line account where you
can view your Trust Account balance and Settlement Offers.
You will have the ability to Accept or Decline the Settlement
Offers that are generated.
Disadvantages:
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While you will get out of debt you may, in the short term,
experience aggressive collection practices and negative postings
from your creditors. CDS has tools to assist you in dealing with this.
How to Qualify:
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Provide your CDS agent with a list of creditors.
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CDS agent will provide you with three monthly payment options.
Choose the monthly payment that fits your budget.
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Provide CDS agent with budget information and hardship reason.
Your hardship reason is
important as many creditors will inquire why you are seeking debt relief.
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CDS agent will send you the required paperwork.
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Fill out paperwork.
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Make monthly program payments. You will be contacted by
your Settlement Representative as Settlement Offers are generated.
Bankruptcy:
Bankruptcy is the last option. We can help you quickly determine
whether you qualify for Chapter 7 or Chapter 13 bankruptcy.
Fill out our form and find out
all the details. An advisor will contact and answer your questions.
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