How will I know if a debt settlement offer is fair?

When considering a debt settlement offer, it’s important to make sure that it’s fair and that you won’t be taken advantage of. In California, debt settlement law provides some guidelines as to what constitutes a fair offer. First, consider the amount of the offer and make sure that it is close to what you actually owe. Debt settlements should be no more than around 30-50% of the total debt balance, so if the offer is significantly lower than that, it may be too good to be true. Next, make sure that the settlement offer contains clear terms, such as how much of the debt is forgiven, when and how the settlement must be paid, and the specific debt that is being settled. Without having this information, you will find it difficult to assess the fairness of the offer. Finally, check to make sure that the settlement company is reputable and has a good track record. A good debt settlement company will work with all the major credit bureaus and will ensure that you won’t be taken advantage of. You can get more information about debt settlement companies in California through the California Department of Business Oversight. By carefully assessing the debt settlement offer, you can ensure that it is fair and will help you get out of debt without being taken advantage of.

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How will I know if a debt settlement offer is fair?

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