About Company
Debtmerica Relief, founded over 15 years ago by individuals who recognized the pervasive impact of unmanageable debt on Americans, has dedicated itself to helping individuals nationwide achieve financial independence and live debt free. Focused on alleviating the personal struggles associated with financial difficulties, stress, and anxiety, Debtmerica offers a debt relief program designed to aggressively reduce unsecured debt, allowing individuals to move forward with their lives. By prioritizing creditor harassment mitigation and fostering lasting relationships with service providers, Debtmerica's debt relief programs aim to significantly reduce total unsecured debt while providing a single, manageable monthly payment. The company's commitment to excellence, demonstrated through membership in the American Fair Credit Council and ongoing professional development for Debt Consultants, has contributed to its recognition as an Inc. 500 Fastest Growing Company and accolades for workplace quality.
Key Features
-
Mission for Financial Independence. Debtmerica Relief is driven by a clear mission to help Americans attain financial independence by addressing the challenges of unsecured debt that often lead to personal and emotional difficulties.
-
Comprehensive Debt Settlement Program. Offering an aggressive debt relief program, Debtmerica actively works to reduce unsecured debt, providing individuals with a tangible solution to overcome financial challenges and regain control over their lives.
-
Holistic Approach Rooted in Education. Debtmerica's approach goes beyond conventional debt consolidation, aiming to lower monthly payments and reduce actual balances. The company values continuous education, ensuring Debt Consultants stay informed about industry developments.
-
Creditor Harassment Mitigation. Upon enrollment, Debtmerica prioritizes minimizing creditor harassment, utilizing strong relationships with service providers and direct access to creditors to effectively reduce total unsecured debt amounts.
-
Proven Success and Recognition. Debtmerica's success is underscored by its recognition as an Inc. 500 Fastest Growing Company and acknowledgment as a Best Place to Work. The company's commitment to excellence and client well-being reflects in its achievements and professional standing within the debt settlement industry.
Pros and Cons
Pros
Cons
How Does Debtmerica Work?
-
Initial Consultation. Clients begin with an initial consultation with Debt Consultants. During this phase, the consultants assess the client's financial situation, including the types and amounts of unsecured debt.
-
Customized Debt Settlement Plan. Based on the assessment, Debtmerica devises a customized debt settlement plan. This plan is designed to actively reduce the actual balances of unsecured debt, going beyond conventional debt consolidation methods.
-
Creditor Harassment Mitigation. Upon enrollment, Debtmerica prioritizes minimizing creditor harassment. Leveraging established relationships with service providers and direct access to creditors, the company shields clients from the stress associated with frequent creditor interactions.
-
Low Monthly Program Payments. Clients are provided with a single, low monthly program payment. This payment is often significantly lower than the combined monthly payments to the same creditors, making the program more manageable for individuals facing financial challenges.
-
Debt Resolution Programs. Debtmerica engages in negotiations with creditors on behalf of clients. The goal is to reach agreements that result in a reduction of the total unsecured debt amount. This may involve settling the debt for less than the full amount owed.
-
Financial Well-being Focus. Debt Consultants at Debtmerica engage with clients to discuss the benefits and qualification process of the Debt Resolution Programs. The aim is to provide sound, knowledgeable advice and propose an affordable monthly program payment aligned with the client's budget.
-
Ongoing Communication and Support. Throughout the process, Debtmerica emphasizes ongoing communication with clients. The company encourages clients to reach out with questions or concerns, fostering a supportive environment and ensuring clients are informed about their progress.
Cost
Some of Debmerica’s programs are performance based, which means that its clients do not pay any fees until settlements have been negotiated on their accounts. However, if you are enrolled in one of Debtmerica, LLC’s attorney-based debt settlement programs, then Debtmerica, LLC may receive fees prior to any settlement being obtained with a creditor. The total fees for its programs range from 20% to 24% of the enrolled debt balances that are settled. Upon each account being settled, a fee will be assessed specific to that settlement and collected from the special purpose account set up specifically to facilitate the debt settlement process.
Additional resources
To learn more about debts and best practices, check out some of the following resources:
- Debt Consolidation Companies
- Best Debt Consolidation Loan Options
- Federal Debt Relief Agencies
- Debt Consolidation Loans for Bad Credit
- Top Debt Consolidation Loan Companies
- Consolidate Payday Loans With Bad Credit
- Credit Card Consolidation Loan Providers
- Student Loan Debt Relief Providers
Types of Debt Settled by Debtmerica
-
Credit Card Debt. Debtmerica works with clients to negotiate and settle outstanding balances on credit cards, helping individuals alleviate the burden of high-interest debt.
-
Medical Bills. Unpaid medical bills can accumulate quickly, impacting individuals' financial well-being. Debtmerica's debt settlement programs may include negotiating and settling medical debts to provide relief.
-
Personal Loans. Individuals burdened by unsecured personal loans can turn to Debtmerica for assistance in negotiating and settling these debts to achieve a more manageable financial situation.
-
Collections Accounts. Debt in collections, whether from credit cards or other unsecured debts, can be negotiated by Debtmerica to potentially reduce the total amount owed and resolve outstanding accounts.
-
Certain Business Debts. Depending on the nature of the debt, Debtmerica may assist with settling certain types of unsecured business debts, providing relief for entrepreneurs facing financial challenges.
Risks Associated with a Settlement Program
-
Credit Score Impact. Engaging in a debt settlement program can have a negative impact on your credit score. As the program involves negotiating to pay less than the full amount owed, it may be reported on your credit report and affect your creditworthiness.
-
Creditor Harassment Initially. Before settlements are reached, creditors may continue collection efforts, leading to increased calls and correspondence. While reputable companies aim to mitigate harassment, some level of initial discomfort may occur.
-
Potential Legal Action. If negotiations are unsuccessful, creditors may choose to take legal action to recover the full amount owed. While debt settlement companies work to avoid this outcome, it's a risk that individuals should be aware of.
-
Accrued Fees and Interest. While working towards a settlement, interest and fees on the outstanding debt may continue to accrue. This means that the total amount to be settled could increase over time.
-
Not Suitable for All Debts or Situations. Debt settlement is generally more applicable to unsecured debts like credit cards. Some types of debt, such as secured debts (backed by collateral) or certain government debts, may not be eligible for settlement.
-
Potential Tax Implications. The forgiven portion of the debt in a settlement may be considered taxable income, leading to potential tax implications. Individuals should be prepared for the financial impact of any taxes owed on settled debt.
-
Impact on Future Credit Access.Even after completing a settlement program, the impact on your credit score may persist, affecting your ability to access credit or obtain favorable interest rates in the future.
-
Not Guaranteed Success. There's no guarantee that creditors will agree to the proposed settlements. Success in debt settlement depends on various factors, including the creditor's willingness to negotiate and the individual's financial circumstances.
Reliability
Debtmerica's commitment to reliability is underscored by its membership in the American Fair Credit Council (AFCC), the foremost trade association in the debt settlement industry. As an AFCC member, Debtmerica voluntarily aligns itself with the organization's stringent industry standards, reflecting a dedication to transparency, ethical practices, and client-centric values. Choosing Debtmerica means selecting a company that prioritizes reliability and adheres to the highest standards set by the AFCC. In the complex landscape of debt settlement, the affiliation with AFCC provides assurance that Debtmerica operates with integrity and consistently meets the benchmarks of excellence in the industry. When considering a debt resolution partner, the AFCC membership of Debtmerica is a testament to its commitment to reliability and ethical conduct.
Debtmerica Alternatives
InCharge
InCharge Debt Solutions is a leading nonprofit organization dedicated to providing individuals and families with professional debt relief services. They offer a range of Vermont debt relief programs, including debt consolidation and credit counseling, to help Vermont residents regain financial stability. With a strong commitment to financial education, In Charge equips clients with the knowledge and tools needed to make informed decisions about their debt. Their approach combines personalized counseling and practical debt relief strategies to pave the way towards a debt-free future.
Money Fit
Money Fit is a reputable nonprofit financial services organization that specializes in debt relief and credit counseling. They offer a holistic approach to debt management, helping clients create customized debt repayment plans while also emphasizing financial education. Money Fit's debt management programs are designed to reduce interest rates and make debt repayment more manageable, allowing clients to regain control of their finances. Their commitment to client success and ethical debt relief practices has earned them a solid reputation in the industry.
New Era Debt Solutions
New Era Debt Solutions is a well-established Vermont debt relief company that specializes in Vermont debt settlement services. They have a track record of negotiating with creditors on behalf of their clients to reduce the total debt owed. New Era's debt relief approach aims to provide clients with a path to financial freedom by helping them resolve unsecured debt more efficiently. With a focus on affordability and transparent communication, New Era Debt Solutions offers a strategic way for clients to break free from the burden of unmanageable debt.
Pacific Debt Relief
Pacific Debt Relief is a renowned debt settlement company that focuses on helping individuals who are struggling with unsecured debt. Their expert negotiators work to reduce the overall debt burden by reaching settlements with creditors. Pacific Debt Relief's commitment to personalized service and transparent communication sets them apart in the debt relief industry. They provide clients with a structured plan to alleviate debt stress and pave the way towards financial recovery, ensuring that clients are well-informed and supported throughout the process.
Editorial Opinion
Important
How to Choose a Lender
-
Make sure to confirm whether the lender is licensed to operate in your state. You can verify this information with your state regulator or attorney general.
-
Check if the lender is a member of a reputable association, such as the Community Financial Services Association of America. Membership in such organizations may provide an extra level of reliability.
-
Carefully review all the terms and conditions of your payday loan contract.
-
Thoroughly examine the interest rates on payday loans and ensure that your contract includes a detailed breakdown of the total cost of the loan.
-
Take advantage of your right of rescission. Usually, you can rescind the loan within three days after signing the agreement. Alternatively, there is typically a "cooling-off" period, which allows you several days to thoroughly review the contract before making an informed decision to enter into a consumer loan agreement based on the terms specified by the lender.
-
Choosing a payday lender is a significant decision that demands careful consideration and a good understanding of how such organizations operate.
Methodology
At Finanso, we've carried out a comprehensive analysis of over 100 lenders, assessing them based on 35 different parameters across six key categories: accessibility of loans, customer relations, quality of service, interest rates, and transparency of conditions.
In each category, we carefully considered the most critical factors in selecting a lender. These factors include the interest rates, available loan amounts, minimum credit score, minimum income, application fees, and the speed at which funds are transferred.
At Finanso, we highly value our users, which is why we also focus on the quality of customer service, user reviews, and additional features that can aid our users in making a well-informed decision.
Our ultimate goal is to provide insightful recommendations and expert advice to assist you in selecting a lender that best caters to your specific needs.
