Agruss Law Firm Helps Chicago Residents With Debt Settlement
Debt settlement is the process of negotiating with creditors to reduce overall debts in exchange for a lump-sum payment.
Debt settlement is an approach to debt reduction in which the debtor and creditor agree on a reduced balance that will be considered payment in full. Debt settlement is the process of negotiating with creditors to reduce overall debts in exchange for a lump-sum payment. A successful settlement occurs when the creditor agrees to forgive a percentage of the total amount due. Normally, only unsecured debts, not secured by real assets like homes or autos, can be settled. Unsecured debts include medical bills and credit card debts – not student loans, auto financing, or mortgages. For the debtor, this makes obvious sense, they avoid the stigma and intrusive court-mandated controls of bankruptcy while still lowering, sometimes by more than 50%, their debt balances. While, for the creditor, they regain trust that the borrower intends to pay back the debt instead of filing for bankruptcy.
Negotiating with a collection agency is somewhat similar to negotiating with a credit card company or other original creditor. However, many collection agencies will agree to take less of the owed amount than the original creditor, because the junk debt buyer has purchased the debt for a fraction of the original balance. As a part of the settlement, the consumer should request that the account be removed from the credit report. With the current economic crisis, more and more credit card companies may be willing to settle existing credit card debts rather than add to their already large written-off bad debt.
Debt settlement and debt collection harassment cases often times go hand-in-hand. That is, instead of Chicago residents receiving money damages in debt collection harassment cases, the debt collector will wipe out the debt and clear up the client’s credit report. Therefore, although the law does not provide for substantial monetary recovery for the consumers in debt collection harassment cases, obtaining debt relief for Chicago residents is sometimes an option. Recently, clients of Agruss Law Firm have received debt relief in debt collection harassment cases in the amount of $2,500.00, $7,500.00, and over $20,000.00. Debt relief is the unwritten type of damages in debt collection harassment cases. Consumers should keep this potential type of benefit in mind when considering whether or not to pursue a case.
If you are overwhelmed with debt and want an experienced negotiator to attempt settle your debt at a reduced amount, contact Agruss Law Firm, LLC. Agruss Law Firm, LLC, has built relationships with credit card companies and collection agencies and can often times come to a settlement agreement quicker and at a more favorable rate than a debtor acting on their own. Agruss Law Firm, LLC, has helped countless consumers receive debt relief and/or debt reduction. Contact Agruss Law Firm, LLC, to see if debt relief and/or debt reduction is an option.
- Contact Information
- Michael Agruss
- Attorney at Law
- Agruss Law Firm, LLC
- (1) (312) 224-4695
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