Debt Settlement Options

[studentloansescape]

What are the debt settlement options that you think are the best for credit card debts.And what are your experiences with the settlement procedure.Please share.

[disneysteve]

http://www.savingadvice.com/forums/debt/46985-debt-settlement-credit-counseling-companies.html

See the sticky at the top of this thread. Debt settlement is basically a scam. They don't do anything for you that you can't do for yourself for a lot less money.

[Constance]

Contact the credit card companies yourself and negotiate a lower rate. The next thing that you need to do is commit to not incurring anymore credit card debt. Then, pay off those accounts as quick as possible.

[GrimJack]

And do not forget that 'forgiven debt' is considered income by the IRS. Usually a couple years down the road you might get a 'cp2000' letter from under-reporter unit that compares what you claimed as income with what was reported; debt that is written off by the cc company is reported as a loss. The cp2000 letter is NOT a tax bill, it is a letter that asks you to explain a discrepancy (the letter offers about 5 different options in response).

[studentloansescape]

Thanks for sharing your thoughts on credit card debt settlement.

[ecoadapt]

I believe there are companies that will probably help you. Just choose the ones that will meet your standards! Don't forget to check the reviews!

[gattaca]

Does the 25X salary or expenses account for inflation? I calculated that I would need about $1M but when calculating for inflation it is only $450,000 (approx.).