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Many people are unable to become debt free because they spend most of their money paying for the interests. Debt settlement is the best solution for people who would like to get out of their debt soon.

Who Will Qualify For Debt Settlement Program?

Types of Loans Allowed

All types of unsecured loans are allowed in the debt settlement program such as credit card debt, medical bills, business debts, veterinarian bills, installment loans, and judgments. Some of the types of debts that they cannot assist you with are mortgage loans, car repair bills, warranty contracts and bail bonds. Credit card debt is the most common type of debt settled in a debt settlement program. Credit card debts always get the lowest settlement offers from the creditors. Thus, if you owe the majority of your debts to credit card companies, you can expect to see good result.

Minimum Requirements

The minimum amount for qualifying the debt settlement program is $7,500. You have to be at least 18 years old to qualify for debt settlement. You must prove to them that you have a job or income source from where you will derive the funds to pay for the settlement amount.

Financial Hardships

Besides, you must also prove to them that you have experienced a financial hardship. Financial hardship refers to the added expenses in your life that you need help in coping. An example of financial hardships is caring for an ill person. Debt settlement services is not for people who can afford to pay their bills but don’t want to pay them. If you prefer to settle your debt rather than declaring bankruptcy, debt settlement can provide a relief for you. If you are not sure whether you qualify for the debt settlement, you should talk to one of the specialists at the debt settlement company. Many companies are offering toll free telephone services so it is worth it to give a phone call. The specialist will ask you a few question to find out whether you qualify for the hardship.

Commitment to Pay for the Debt Settlement

You have to be committed into paying for the debt settlement. It can be a challenge but it is a faster and cheaper way for you to get out of debt. You must make sure you have enough monthly budget to build up the funds. You should be able to set aside at least 1.5% of your debt for the settlement deposit account. If you don’t have enough funds, you can turn to other sources such as borrow from family members, cash value life insurance policy and etc.

Conclusion

In conclusion, you can go ahead to contact the debt settlement company for a quote if you meet the above criteria. Almost all states in the USA are qualified for debt settlement. You can usually obtain the quote by filling a short form on their site.