The truth is that your credit is already affected once your account becomes delinquent. As time goes on, your credit will be impacted until an agreement is reached on your behalf and the account is deemed satisfied. It must be understood that your credit or FICO score is based on maintaining a relationship with debt. Reliable Debt Consultants (RDC) main concern is assisting our clients toward debt freedom through the negotiation process while improving a positive connection with your finances.

There is no clear answer to this question. If your account is already charged off and therefore moved to collections or a recovery division of the collection creditor/loan agency, the negotiations can begin in a matter of weeks from enrolling the debt. Credit card debts can take significantly longer since there are different criteria’s for settling debt on these past due accounts.

Usually Consolidation seeks to combine your existing debt load for a monthly payment to your creditors for the balance in full. Settlement is an agreement between your creditor and RDC which reduces your balance to a lesser amount. That lesser amount, the settlement, once paid successfully removes you from this debt obligation. Consulting is how we educated our clients on their financial situation (as it relates to debt) and how we encourage them to make decisions which will benefit their current financial status and for the future.

First-party creditors have the right to contact the debtors (clients who have an unpaid balance) as long as those creditors are not violating CFPB or FTC regulations and they have an agreement with the consumer to allow them to make direct contact. 3rd-party collection agencies (agencies collecting on behalf of the creditor) have tighter guidelines to follow and may receive stiff penalties for violating rules imposed to them by FDCPA. Your consultant will discuss this in more detail.

Any organization can pursue legal action but not all creditors or loan agencies will exercise this right. Your debt consultant/negotiator and enrollment specialist will do their best to identify the threats first to avoid any legal situation from occurring.

Our approach is always to settle. However, there are rare instances where a loan agency, third party agency or creditor will seek the balance in full. In these circumstances your debt consultant will communicate with you on your options. In truth, some agencies just require time before a settlement becomes an option. No does not always mean no in this instance, it just means not right now.

Some accounts over time will be sent to a 3rd party agency where RDC can resolve the debt. RDC has great relationships with 3rd party agencies throughout the country and we use those relationships to save you as much money as possible in the program.

RDC does not enroll secured loans because our company cannot guarantee the loan agency will not take possession of the item or items (collateral) used to receive the loan per the agreement. Loan agency repossession of said item or items once default occurs may happen. Your debt consultant can discuss the options you may have with regards to these accounts.

All settlements which occur must take place on accounts which are already in default and past due. Accounts which are current or where reoccurring payments are made to the loan are not delinquent accounts. This program is designed for clients who are already in default and are seeking true financial relief.

Payments are not sent to any loan agency, creditor or 3rd party without an agreement being in place first. Once an agreement is made funds are rendered for settlement purposes. RDC does not send minimum payments to creditors in an effort to uphold any previous contractual obligation held by the consumer (this would defeat the purpose of our philosophy on debt freedom).