Debt settlement is probably the most drastic debt relief solution at a consumer’s disposal. At Debt Consolidation Texas, our objective is to find you a debt settlement firm in Port Arthur, TX that will work to decrease what you owe. On top of that: there are no obligations, and it’s cost-free.
Debt settlement, is it right for you? Learn more today!
Finding a Debt Settlement Agency in Port Arthur, TX
Please don’t trust your debt settlement to some shady company. Any reputable debt settlement company in Port Arthur, TX, will divulge a good bit of information prior to joining, such as how much the costs are for their program, how long until they get in touch with your creditors, and what kinds of risk there are. Be certain that your Port Arthur debt settlement company is reputable by verifying the following:
- How long have they been in operation?
- How many cases have they managed?
- How much do they charge?
- What is their rating with the Better Business Bureau?
- How successful have they been?
- Are they licensed in the state of TX?
Although debt settlement may result in dramatic debt forgiveness, it is an intense process that comes with a good amount of risk.
You will need to contact a debt professional to see whether or not debt settlement meets your needs.
During a debt settlement, you completely quit making payments to the credit card issuers. As an alternative, you deposit funds into a special purpose bank account until you’ve got enough money to pay the amount worked out by your Port Arthur debt settlement company. Lamentably, your FICO score gets worse because you are no longer paying your creditors. And also, the collection agency calls might not taper off. According to fairly new FTC regulations, your savings account has to:
- Be FDIC-insured.
- Give you full access.
- Not charge you for removing funds.
Lawsuits and Debt Settlement
Bear in mind, banking institutions do have the right to take legal action against a borrower to collect a debt. With debt settlement, the risk of being sued goes up. Why? Because you quit repaying your creditors each month.
A local Port Arthur debt settlement attorney doesn’t necessarily have the power to prevent such a scenario from transpiring.
Statute of Limitations for Credit Card Debt: Texas
As a resident of Port Arthur, here’s what you ought to know about the Texas statute of limitations when it comes to debt:
- Statute of Limitations: 4 years
- State Statute: 16.004
- More Details: www.statutes.legis.state.tx.us/Docs/CP/htm/CP.16.htm#16.004
Suitable Debt Settlement Candidates: Port Arthur (TX)
Most Port Arthur debt settlement candidates owe at least $10,000 of debt, are considering declaring bankrupty, and can no longer afford the minimum payments on their credit lines each month.
Of the 56,966 people in Port Arthur, 5,643 have credit card debts in excess of $10,000.
Consumers with debt to income ratios of 50% or more are excellent candidates for debt relief of some kind or another, whether it be settlement or consolidation.
Basically, if you are dedicating over half of your pay to credit cards, home loan, and auto or student loans, you have to consult a debt relief consultant. Given that the average income in Port Arthur is $1,070 each and every month, we’re talking about $535. You should really shoot for a ratio that’s nearer to 36 percent, or $385 for the average Port Arthur borrower.
Port Arthur Debt Settlement vs Management
A lot of people mistake credit card settlement and debt consolidation. They are wholly separate. The vast majority of debt management programs give you less expensive rates of interest for your credit cards and/or payday loans, but no debt forgiveness is involved. These methods of relieving debt – consolidation, management, counseling – don’t do nearly the damage to your FICO ratings over the long haul, but these are long term options that require paying back all of your debt.
Visit here to learn more about debt consolidation in Port Arthur.
How Much Does Debt Settlement Cost?
No debt settlement specialists in Port Arthur are allowed to charge a fee in advance. Any licensed debt settlement firm in Port Arthur, TX, will only charge you once a balance is paid off. Most debt relief solutions normally call for flat monthly fees.
Most settlement companies charge a percentage of the balance you want settled, often as much as 15 percent. Typically they have been forbidden legally from charging you until a balance has been settled.
Port Arthur (TX) Debt Settlement Companies
- Consumer Credit Counseling Service of Se Texas, 2901 Turtle Creek Dr, 77642
- Consumer Credit Counseling, 1130 11th Ave, 77642