http://www.destroydebt.com/blogs/tbates.html Fair Options In Debt Settlement Are Available - Just Do Your Homework First www.destroydebt.com Wed, 16 Jan 2008 02:29:33 GMT webmaster@destroydebt.com webmaster@destroydebt.com http://www.destroydebt.com/blogs/tbates/125-bad-debt-collector.html http://www.destroydebt.com/blogs/tbates/125-bad-debt-collector.html Wed, 16 Jan 2008 02:29:33 GMT Do collectors actually violate the law? Every chance they get! NCO fined by Pennsylvania - January 30, 2006 NCO Group, Inc., a leading provider of business process outsourcing services, announced today that it entered into an Assurance of Voluntary Compliance with the Commonwealth of Pen...
NCO fined by Pennsylvania - January 30, 2006 NCO Group, Inc., a leading provider of business process outsourcing services, announced today that it entered into an Assurance of Voluntary Compliance with the Commonwealth of Pennsylvania. Under the terms of the Agreement, NCO specifically denies that it has engaged in unlawful or inappropriate business practices, and has agreed to pay the Commonwealth $300,000 to be used towards the costs of the investigation and/or future public protection purposes. The Agreement also requires NCO to comply with consumer protection laws and to maintain certain policies and procedures designed to facilitate and monitor its ongoing compliance.

Commenting on the Agreement Michael J. Barrist, NCO Chairman and CEO stated; "It has always been our policy to work with regulators to assure that we are promptly and effectively responding to consumer issues. As the largest provider of Accounts Receivable Collection services in the world, NCO contacts consumers approximately 400 million times per year. Although we provide our services on a national basis, a disproportionate number of consumers look to the Commonwealth for assistance because we are headquartered in Pennsylvania. I am very pleased we were able to reach this Agreement with the Commonwealth since it resolves all issues to date and, more importantly, provides for a positive working relationship in the future."

[Contact info removed.  Advertising is not allowed]

            ]]> http://www.destroydebt.com/blogs/tbates/124-you-got-debt-you-got-options.html http://www.destroydebt.com/blogs/tbates/124-you-got-debt-you-got-options.html Wed, 16 Jan 2008 02:22:16 GMT Absolute provides its client's with a unique and aggressive service known as debt settlement. Debt Settlement is a tried and ethical program in which creditors agree to accept an amount less than what is owed in exchange for forgiveness of a full balance owed. After a creditor agrees to lower a pay ...
            Debt Consolidation
Is debt consolidation right for you? Debt consolidation is always a great way to bring resolve to debt as long as clients have a process in place before the consolidation to settle the debt. If there is no procedure in place to discount the amount owed, there is no real reason to conduct a consolidation loan. Lowering the monthly payment is somewhat beneficial, but the end result may not be what was desired. A simple trade out of loans does not lower the amount owed or monthly payment, and in most cases, clients are going to end up owing double what they started with. About 80% of borrowers use debt consolidations loans, bringing accounts to a zero balance, but end up owing another lender at a lower or longer rate/term. In most cases, people that go through debt consolidation will continue to use the accounts that were paid off, resulting in double the debt. The end result is, if clients have a well qualified debt settlement company that has a perfect reporting with the BBB and is IAPDA Certified, that company should handle all the negotiations before the debt consolidation and then they are sure to come out on top.



                    Avoiding Bankruptcy

Occasionally, there are times when people or businesses run into severe financial troubles.  When put to paper, it seems as though they cannot manage to continue to make necessary payments on their current income.  For many, bankruptcy seems to be the only way out.  But bankruptcy should always be the last option. Before this option is acted on please call us to determine weather or not the pain of bankruptcy is required. 

 

Tom Bates, IAPDA Certified Debt Arbitrator]]> http://www.destroydebt.com/blogs/tbates/123-debt-settlement-and-taxes.html http://www.destroydebt.com/blogs/tbates/123-debt-settlement-and-taxes.html Wed, 16 Jan 2008 02:20:44 GMT Expect your creditor's to send a 1099c for the amount of the difference between your balance and what they agreed to settle for. Fortunately there is an insolvency form that you or your accountant can provide to the IRS when filing your return. This insolvency form acts as a worksheet for your overa...
Will the creditors offer me settlements around Absolute Debt Solutions?
Most likely. However, they should not be trusted as their letters are not, in most cases fully resolve your problem. Absolute requires the creditors letters to say things that have “YOUR BEST INTEREST” in mind, not theirs. Because of this, it is required that “all” communication be sent to us for safe keeping, accountability, communication and accountability.

 

Tom Bates, IAPDA Certified Debt Arbitrator

President and CEO

[Link removed - Advertising is not allowed]]]> http://www.destroydebt.com/blogs/tbates/119-getting-a-guarantee-in-debt-settlement.html http://www.destroydebt.com/blogs/tbates/119-getting-a-guarantee-in-debt-settlement.html Wed, 16 Jan 2008 01:59:27 GMT Plano, TX - January 4, 2008 -- For consumers looking to get out of debt, the Founder and CEO of Absolute Debt Solutions, Tom Bates, advises looking for a debt settlement company that guarantees their results. Bates says as the debt settlement industry continues to establish itself, one thing that se...
"They all want to get paid and it is not cheap," says Bates. "You will spend at least 12% of your total debt for your average debt settlement company to assist you in settling your unsecured debts. That is in addition to the continuing late fees from the bank."

So, he says a debt settlement company's advertisement that reads 40-to-60% savings is not really accurate and he advises reading the fine print.

"There is the issue of taxes when the 1099c comes from the bank," says Bates. "There goes another 14% based on the amount saved. So the sales pitch of 40-to-60% just fell to 15-to-25% saved. Well, if all they are going to get you is 15-to-25%, why do you need them? You don't. You need a company that has a track record that produces real debt settlements, with a solid guarantee. Plus, if they are so good at what they do, then why pay them one dime until the work is guaranteed? You don't pay anything 'til the car is back and running from the mechanic, right? How about the pool man or the yard man, or even the barber? Are you going to pay before your hair is cut? No -- and you should not pay 'til your debts are settled according to a signed guarantee."

Some companies come highly recommended and come with endorsements and affiliations. Bates says not to be fooled by meaningless certificates; many of these companies have paid thousands of dollars to become members of these organizations. On top of that, these organizations have no say in the acts of the company. In fact, Bates says, many of these organizations are run by owners and directors of settlement companies.

"The BBB, to my knowledge, has never been to any of their offices," says Bates. "Unless the company is certified and there are standard follow up procedures on a weekly or monthly basis, a framed certificate or trophy of affiliation is worthless. Accountability is everything."

Bates questions why people who are already in a financial decline should create more debt to resolve the problems they already have. He says the situation may get even worse than the one they're already in. If consumers pay a debt settlement company regularly for one or even two years, they will have paid thousands of dollars they can't afford and have saved little for the settlement unless they have a solid guarantee. "This does not sound to me like these companies have the consumers' best interests in mind," says Bates.

In most cases, creditors can and will settle for pennies on the dollar with the right approach. But Bates asks why consumers should pay anything until the work is done and guaranteed? Bates says debt settlement, like many other industries, should charge based on results.

"No debt settlement company can help you unless and until you have money to use for settlement," says Bates. "So until you have these funds, they are simply a mail box for you. And, should they stop the calls from the collectors, that's great -- or is it? If the bank can't call and can't write, what can they do? They can and in most cases will, file suit. Though a law suit is not the end of the world, they are not much fun. They will still settle, but at a much higher rate."

About Tom Bates


He has spent the last 13 years in the credit and finance industry, managing some of the largest receivable companies in the world. Bates has developed a program that has proven results far above the competitors. He is IAPDA Certified (International Association of Professional Debt Arbitrators).


Tom Bates]]> http://www.destroydebt.com/blogs/tbates/118-debt-settlement-and-the-real-truth.html http://www.destroydebt.com/blogs/tbates/118-debt-settlement-and-the-real-truth.html Wed, 16 Jan 2008 01:57:48 GMT Though Debt Settlement has yet to become fully developed as an industry, there seem to be standards through out the board. Those being, the fees. They all want to be paid, and it is not cheap. You will spend AT LEAST 12% of your total debt for your average debt settlement company to assist you in se...
You might consider looking into a company and you may even find they have good reviews and have even paid thousands of dollars to be a member of some organization. That is meaningless as these organizations have no say in the acts of the company. Most of these organizations are actually run by owners and director of settlement companies . Who's fooling who?. The BBB, to my knowledge has never been to "ANY OF THEIR OFFICES", and they can only go on the word of a consumer who may have been ill advised or did not understand the program and or the risk involved do to untrained "sales people" and huge turn over rates. Unless the company is certified and there are STANDARD FOLLOW UP PROCEDURES on a weekly or monthly basis, even the certifications are worthless. Accountability is everything. A simple trophy on a website does not guarantee results.

For those of you that are already in a financial downfall, why create another debt to resolve the problems you already have. You do this as your problems may get even worse off than they are. You pay into a debt settlement company for one maybe two years, and will have paid "THOUSANDS OF DOLLARS" you cant afford, and have little saved for settlement. This does not sound to me like they have your best interest in mind.

In most cases your creditors can and will settle for pennies on the dollar with the right approach. But why pay anything till the work is done and the work is guaranteed? If your willing to prepay the yard man for 3 years, or the lady cutting your hair for the next three years, you should pay for debt settlement before the work is done. Either way your not getting a refund if your not happy with the results.

No debt settlement company can help you unless and until you have money to use for settlement. So till you have these funds, They are simply a mail box for you, and should they stop the calls from the collectors, thats great. Or is it? If the bank can't call and can't write, what can they do? They can and in most cases will file suit. Though a law suit is not the end of the world, they are not much fun. They will still settle, but at a much higher rate.

Debt Settlement like many other industries should charge based on results. Unless their real interest is something other than the clients well being why would they not, right? Well, are they digging you deeper in debt? If they do not charge based on results, and actually get paid before the creditor gets paid clearly they are out for their own buck. And from who? The weak, the uneducated or perhaps the ill or elderly or maybe a family who lost a job or loved one. They get paid before the bank? Why?

If your willing to pay for services two or three years before the services are delivered, you have not finished your home work. Have a look at the BBB report of Credit Solutions of America. over 750 BBB complaints!. How many of those clients do you think got a refund when times got even harder, they could not pay for the program any longer. and had to file BK? I think little or NONE!

Tom Bates

]]> http://www.destroydebt.com/blogs/tbates/117-how-to-choose-a-debt-settlement-program.html http://www.destroydebt.com/blogs/tbates/117-how-to-choose-a-debt-settlement-program.html Wed, 16 Jan 2008 01:56:02 GMT With Consumer Credit Counseling your going to go through a counselor who will tell you what you already know. After you have paid your enrollment fee, and agreed to automatic bank drafts they will start your program. Your counselor will then contact your creditors and "attempt" to lower your interes...
Keep in mind it is only lowered while in the CCCS program. Should you or the counselor be late in getting the payment to the creditor ,that interest you had lowered will raise its ugly head again making things even worse than ever. Keeping the above in mind, they want you to think they are non-profit and manage your money well.

A news article in California found Clients of the California-based National Consumer Council, Florida-based Debt Management Foundation Services Inc. and Massachusetts-based Better Budget Financial Services Inc. paid thousands of dollars to keep bill collectors at bay, but instead clients saw their debts, interest rates and late fees increase as the three companies did little to help.

As wolves in sheep's clothing, CCCS, follows up with your creditor with a letter of council that tells them of your involvement in their program and asks them the work with them. Then, ask for what is well known as their contribution. They claim to be non profit, yet the money you could be paying toward your debt goes to them.

Debt Consolidation is always a great way to bring resolve to your debt as long as you have a process in place before the consolidation to settle the debt. If there is no procedure in place to discount the amount owed, there is no "smart" reason to conduct a consolidation loan. Lowering the monthly payment is nice, but the end result may not be what you desired.

A simple trade out of loans does not lower the amount owed or monthly payment, and in most cases your going to end up owing double what you started with. You will as 80% of consumers do, bring accounts to a zero balance and owe another lender at a lower or longer rate/term. In most cases people that go through debt consolidation will re-use the accounts that were paid off, resulting in double the debt.

The end result is if you have a well qualified debt settlement company that will take charge and get you the desired results, and guarantee this is in writing your sure to get back on track.

With Fee based Debt Settlement you have many options, and in several ways can save you money. You should know that no debt settlement company can perform any real service to you till such time as you have money to settle. If it is a buffer or shield your looking for, your always in better hands with creditor experts that are IAPDA certified and have been in the collection and or credit industry. They will understand the creditor and your account better than your average debt settlement company.

Further, the fees charged by fee based debt settlement company is going to cost you about 15% of your total debt load. So what ever you see in advertisement's, you can add about 15 % to their quote, and in most cases is paid up front before the job is done or even started. Read the fine print and guarantee. If they are not wiling to give you a written guarantee to perform and produce you should reconsider doing business with them, regardless of their affiliations or ratings.

You have heard the old saying, if it is not in writing it didn't happen? Truth is, there is only one type of guarantee that will protect the consumer, that is the guarantee in writing. I found one of the largest debt settlement companies has just had a class action law suit filed against them for taking payment before the service was provided, additionally has over 700 BBB complaints filed. Attorney Generals nation wide want to protect consumers from wrong doing, and the only way to do that long term is for the debt settlement company to conduct their actions in the best interest of the consumer.

So, a written, signed and dated pre-agreed agreed settlement term on each account seems to be the best option of protection. This seems to be the direction of debt settlement and clearly has the consumers best interest in mind. Given most all conditions the worst that can happen is you end up paying what you owed in the first place.

The problem with fee based debt settlement is that you may still have to pay all of what you owed and have already paid into the debt settlement program, yet the service was not performed. Good luck getting a refund.

Finally, should you feel the need, make sure you have done your home work, and have counted every dime you are going to be charged and how aggressive the settlement team is.

Tom Bates, IAPDA Certified Debt Arbitrator

]]> http://www.destroydebt.com/blogs/tbates/116--fair-options-in-debt-settlement-are-available--just-do-your-homework-first-.html http://www.destroydebt.com/blogs/tbates/116--fair-options-in-debt-settlement-are-available--just-do-your-homework-first-.html Wed, 16 Jan 2008 01:54:49 GMT If you are considering using a debt consolidation or debt settlement company to help you get out of debt faster and save money on your monthly payments, make sure you do your homework before choosing a company. If your looking into Debt Settlement, make sure your not confusing this with debt cons...
If your looking into Debt Settlement, make sure your not confusing this with debt consolidation. They are much different.

Some Debt settlement companies charge hundreds of dollars as an initial "admin fee" to set up your account, plus a monthly service fee. The fees vary depending on the company and the amount of your debts. A company that has your best interest in mind will charge a low fee and no service charges, and even spread out their fee so you have time to save for settlement.

We would never recommend you ever go with a company that holds your money in an account. They are your debts, and you need to be the one holding the money. Before going with any debt settlement company, look into your finances and if you can do it yourself, offer each of your creditors 30% (Or what you can afford) of what you owe as full and final payment making sure you got their offer in writing before you pay anything. After your told to jump in a lake yo will seen see why a good debt settlement company is needed.

A Good Debt Settlement company can get through all the interest and finances charges, and even get these fees stopped. Remember this is debt settlement, and it is all about negotiations.

As a member and as a certified IAPDA debt settlement company is going to be required to provide what is called "full disclosure", you will fully understand the entire program before you start. Should you start any program you do not understand or agree to you need to get out of the program till you do understand it.

Lets look at a real debt settlement picture from a reputable company:

It is quite easy, you (set aside) 155.00 per month, No set up fee and no service fees for every 10,000.00 in unsecured debt and over a 36 month period, you will have saved enough to settle your debts and pay the reputable debt settlement company their 10%.

A reputable debt settlement company is going to encourage you to save above and beyond what the program calls for, but if all you can afford is the 155.00 for every 10,000.00, your still going to be done in 36 months or less. A good, client caring settlement company will spread their fees out over a long period of time, allowing you the needed space to save for settlement.

A well thought out, and planned process will allow your saved money to be available should a creditor get ugly and file suit. Only an IAPDA Certified company will do this for the consumer. It is best that if your going to go into a debt settlement program, plan on saving all you can when you can, so you limit your exposure.

It is tried and true, you will not get the same results calling the creditor yourself. It takes understanding and passion to bring full resolve in an aggressive program like debt settlement.Only a qualified, IAPDA Certified Debt Arbitrator should ever attempt to settle debt for a consumer. If it is not done correctly the first time, there may never be a second chance. Paying 10,000.00 dollars to save 60,000.00 sound like good sense to me. That is what the end result is with 40% settlements on 100,000.00 in debt with a 10% fee.

If you feel you have been ripped off, or over charged by a debt settlement company and can not get your issues fixed, you need to turn to your local Attorney General; Or call us for help.

Tom Bates, CEO and Founder of Absolute Debt Solutions Inc. Is an IAPDA Certified Debt Arbitrator who's focus is in unique, special concern clients who are also in the need for credit repair as he has been in the credit and finance industry for well over a decade, he is an expert. Tom Bates, IAPDA Certified Debt Arbitrator CEO and Founder 1-866-324-5631 Absolute Debt Solutions http://www.Absolutedebtsolutions.com

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