Many people are under the impression they can manage their debts on their own. While some people can be successful reducing their debt burdens, many fall into one of the several traps lurking in the debt relief industry. Working with a debt relief professional seems like the safest bet for finding reliable solutions to your debt problems, but even some of the so-called “professionals” can be hiding behind a scam.
The Federal Trade Commission works tirelessly to protect consumers from becoming a victim of a scam or fraudulent service provider. The unfortunate fact is that every day more people fall prey to illegitimate debt relief agencies and their scrupulous practices. Here are some of the common signs of a debt relief scam:
- Makes absolute guarantees of debt elimination. Only your direct creditor can guarantee the agreement.
- Charges upfront fees for services, or doesn’t offer money back stipulations in the fine print.
- Fails to include you in any of the negotiations with your creditor, keeps you in the dark.
- Doesn’t provide you with information about all of your alternatives.
- Claims to be able to clean up your credit report or create a new one, which is illegal.
Arming yourself with the right information can protect you from becoming a victim, but you still need to find the right relief. Financial experts recommend legal services for debt relief. A Dallas bankruptcy lawyer is one such example. Bankruptcy lawyers aren’t just about bankruptcy, many offer a range of financial services like debt negotiation, foreclosure defense, and even credit repair. Always verify the credentials of the lawyer you choose and look around for bankruptcy lawyer reviews.