How’d you to your monthly credit card payments and loans – guaranteed? It is an offer that seems strong appeal to all parties involved in the fight, pay their bills. A growing number of companies across the country say they can do so either by reducing your interest rate or reduce the amount you are liable.

But beware! Some of these programs are debt relief Scams, artists, well you can not promises. If you choose the height, you could lose hundreds of dollars in taxes and are in bad financial shape. They are also very much if you started later in other taxes and fines to pay.

Carol North Carolina was willing to share his personal horror story with me, as I will not use their surname. It started with a call for a debt management company. The representative said Carol creditors can lower their interest rates. Carol, who can pay their credit card, mortgages and car loans debt three to five times faster.

“She told me that I particularly at least $ 2500 in a very short time and would probably be a lot more money,” Carol United in his statement to the Federal Trade Commission.

Carol was skeptical, especially when they heard was the price of $ 499. But the seller is assured that they would see Carol lower interest rates within the first 30 days of the program and that these savings would be more than the fees.

“She spoke with such enthusiasm and confidence that I was moved to tears,” says Carol. “I was enthusiastic and full of hope to know that I am finally able to pay my debts”.

But that was not true. Despite repeated attempts, Carol “financial adviser” has not been lower than the prices on one of their credit cards. The company is not Carol repaid the $ 499 cost as promised. The Federal Trade Commission sued the company.

A widespread problem
In recent years, the Federal Trade Commission has prosecuted more than a dozen remission of debts. “They are on the consumer,” says the FTC’s Alice Hrdy.

Ad-FTC-IRS investigators also a number of services, advice on the right to non-profit, as a for-profit. Non-Profit-Pitch a potential customer can feel confident about the demand for this service. “You’re the attacker on the confidence of consumers,” Hrdy said.

Some bad apples in this sector deception of the men about their fees. “They say that, regardless, there are no taxes or engaged cheap,” Hrdy said. Sometimes it does not mention taxes.

Bruce, lives in and around Seattle, has promised a firm, is lower than the interest. It was said that he will send a cheque for $ 265.

“It was my understanding that the money was going on before I pay credit card bills,” said Bruce. It turned out that a “tax” him, a company which allegedly helping him.

“It was a bad experience,” said Bruce. “She really knew my money.”

Warning:’s debt
Some say that it can now negotiate the fee only if your creditors, you reduce your principal as much as 50 to 70 percent. In this way they can say: “Your monthly payments declines substantially.

“It is almost impossible and in any case,” says Travis Plunkett, legislative director of the Consumer Federation of America. That is the reason why FSC warns consumers not to use programmes for the eradication of the debt. “They are much more promising something they do not,” said Plunkett.

Credit adviser – a better option
Charles Helms, president of Consumer Counseling Northwest, offers a large number of people were burned by these false’s debt. “It’s terrible,” he said. Given the fact that most of them have a large up-front costs, they take all those who can pay.

“The ultimate goal is to register is not successful, the program is,” said Helms. “So here is someone who is financially due to begin and only then these companies outside and take the last of its resources and kill all hope that they get out of this situation.”

With a credit consultants are legitimate, there is no good solution for everyone. It informs you and gives you a clear and objective evaluation of your financial situation. In the North-West Credit Counseling, 6000 people saw last year, and found that debt management is the right option for only 19 percent of them. The rest got a work plan, what happens on their own.

With a payment plan consolidated adjusted, it should be possible to pay your credit card debts of 3 to 5 years. They write the opinion of a desk audit of each month, and the payment of all creditors.

Do you have your homework
Faced with bills can be frightening, but debt cancellation is not a decision must be based on the ability of a radio or commercial customers receive a call. You want to find an organization, a plan for debt cancellation for you.

Shop around. Compare a number of services and get a sense of how they operate. Credit Counselor must be at least 20 to 30 minutes with you, for a complete picture of your finances. If they do not, you do not really each plate.

Ask a lot of questions and receive answers to this letter. More information about taxes. The Consumer Federation of America, you do not need to pay more than $ 50 for the set-up fee instead of $ 25 monthly maintenance fee. If the Agency is unclear or reluctant to talk about the tariffs, ga you somewhere.

You do not let the name or the requirement of non-profit organizations. Contact the Better Business Bureau or your local office of consumer protection.

In this way, your homework, you should be able to find a service that is not about taxes or the promise.