What fees will I pay if I use a debt settlement company?

Debt settlement companies are a common way to handle debt in Washington. When you use a debt settlement company to settle your debt, there are a variety of fees that you may be responsible for. The most significant fee is typically the one associated with the company’s debt settlement services - this is the fee the company charges for negotiating with your creditors on your behalf and settling the debt for a reduced amount. This fee can range from 20-25% of the total amount of debt you have settled. In addition, you may be responsible for other types of fees associated with debt settlement services. These fees may include an administrative fee for the company’s services, or a setup fee for setting up an account with the company. You may also have to pay additional fees for the company’s legal services, if you have legal issues that need to be addressed. Finally, you may have to pay additional fees to your creditors as part of the settlement process. These fees may include a penalty fee, interest charges, and other types of fees that your creditors may charge as part of the settlement agreement. Be sure to ask your debt settlement company about all of the fees that you may be responsible for before you agree to use their services. Knowing what fees you will have to pay can help you make an informed decision about the debt settlement company that you decide to use.

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What fees will I pay if I use a debt settlement company?

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