Frequently asked questions

We are an independent financial consulting and referral firm. We review your debt situation, explain all available debt relief options honestly, and match you with the licensed provider that's the best fit for your specific circumstances. We don't settle debt ourselves — we help you find the right company or agency that does.

Yes, completely. We charge you nothing for the consultation, the analysis, or the referral. If you're matched with a provider and choose to enroll in a program, that provider will charge fees under their own agreement — but those fees are governed by law and, in the case of settlement companies, cannot be collected until a debt is actually settled.

We may receive a referral fee from the third-party providers in our network when a client successfully enrolls in one of their programs. We disclose this transparently. This referral relationship does not influence which option we recommend — our goal is to match you with the right solution, not the most profitable one. If the best solution for you is free credit counseling, that's what we'll recommend.

No. We are not a debt settlement company, law firm, credit counseling agency, lender, or any type of debt handler. We are a consulting and referral firm. The actual debt relief work is done by the licensed third-party providers in our network.

Yes — and we won't pretend otherwise. Debt settlement programs typically involve stopping payments to creditors, which results in delinquencies on your credit report and a significant credit score drop. This impact can last several years. However, for people already struggling to make payments, the credit damage from a settlement program may be comparable to what's already happening. We'll help you understand your specific situation. Other options like Debt Management Plans have a much lower credit impact.

Potentially, yes. When a creditor forgives $600 or more of debt, they are generally required to report it to the IRS on Form 1099-C, and you may owe income tax on the forgiven amount. There are exceptions — notably if you are insolvent at the time of the forgiveness. We strongly recommend speaking with a tax professional about this before enrolling in any settlement program.

Yes. Creditors are not legally required to negotiate and may choose to file a lawsuit for unpaid balances at any time. This is a real risk that not enough companies disclose. If a creditor obtains a judgment against you, they may be able to garnish wages or bank accounts depending on your state. This risk is higher for larger balances and more aggressive creditors. We discuss this openly during your consultation so you can weigh it properly.

Debt settlement negotiates a reduced payoff — you pay less than you owe, but your credit takes a significant hit and the process involves stopping payments to creditors. A Debt Management Plan (DMP) is administered by a non-profit credit counseling agency where you repay your full balance, but at reduced interest rates and a structured payment. DMPs have a much lower credit impact but require consistent monthly payments over 3–5 years. The right choice depends on your income, debt amount, and credit situation. See our solutions page for a full comparison.

Yes — debt validation is a federal right under the Fair Debt Collection Practices Act (FDCPA). If a third-party debt collector contacts you, you can request that they prove the debt is valid — that it belongs to you, the amount is correct, and they have the legal right to collect it. When handled by an attorney, this becomes an active legal protection program that challenges collectors and handles all communications on your behalf.

However, it's important to understand that attorney-led debt validation programs are not free, and they carry real risks. Like debt settlement, consumers in these programs typically stop paying their creditors and redirect funds toward attorney fees. Stopping payments will likely damage your credit score, and creditors may escalate collection efforts or file lawsuits during the process. If the debt is valid and well-documented, it is unlikely to be eliminated through validation alone.

If debt validation may be right for your situation, we refer you to a licensed attorney in our network who can evaluate your specific debts and give you an honest assessment of what to expect.

Unsecured debts — credit cards, medical bills, personal loans, and some private student loans — are typically eligible for settlement or management programs. Secured debts like mortgages and auto loans, federal student loans, child support, and tax debt generally are not eligible for standard debt settlement. We'll help you understand what qualifies during your consultation.

For debt settlement programs, most providers require a minimum of $7,500–$10,000 in unsecured debt to make the program economically viable. Below that threshold, other options like credit counseling or a debt management plan may be more appropriate. We'll assess your situation and recommend accordingly — even if the answer is that you don't need a formal program at all.

It varies by option. Debt settlement programs typically run 24–48 months. Debt Management Plans run 3–5 years. Debt consolidation loans have fixed repayment periods, typically 2–7 years. Chapter 7 bankruptcy can be completed in 3–6 months, while Chapter 13 takes 3–5 years. We'll give you realistic timelines based on your specific situation — not the best-case scenario.

Yes. We take your privacy seriously. Your personal and financial information is used only for the purpose of reviewing your situation and making a referral. We do not sell your data to third parties for marketing purposes. If we refer you to a provider, we'll share the information necessary to begin that consultation — with your consent. See our full Privacy Policy for details.

Absolutely not. The consultation is free and carries zero obligation. You can take the information, think it over, consult with family or an attorney, and decide at your own pace. We will never pressure you, set artificial deadlines, or follow up aggressively. The decision is entirely yours.