Debt Settlement FAQs

How long will it take First Choice Debt Resolution to begin settling my debts?

Once you have enrolled in our program, the process begins immediately. We start by notifying your creditors that you have entered our program, and we work with you to determine the best order in which to pay off your debts.

Will creditors finally stop calling me after I've enrolled in the program?

If your debt has been turned over to a third-party collections agency, we can get the calls to stop. Although we request that they contact us instead, any of your original creditors still have the right to contact you directly. If creditors or collection agents continue to call you after you've enrolled in our Debt Settlement Program, you should contact First Choice Debt Resolution for assistance.

Can I negotiate a settlement with my creditors on my own?

Technically, yes. Every individual has the legal right to attempt to negotiate with his or her creditors. You should be aware that effective negotiation takes an in-depth knowledge of the credit industry and sharp negotiating skills. Professional debt arbitrators can usually get a better settlement for you than you could get on your own.

Do I have to include all of my unsecured debts in the program?

Not unless you want to. We will work with you to decide which debts might be best to include in the program, and many of our clients prefer to retain one credit account for emergencies.

How long will it take for me to become debt free?

The answer to this question depends on your individual situation and the amount of debt you have. Some clients have paid off their debt in as little as 18 months, but the process could take a few years for many people.

Will all of my creditors agree to a settlement?

There could be a few instances where a creditor refuses to settle on an account. In most cases, when a creditor is notified that you have entered into a debt settlement program and are trying to avoid filing for bankruptcy, the creditor will negotiate a settlement rather than risk recovering nothing if you go bankrupt. We will discuss each individual account with you during your enrollment in the settlement program.

How will Debt Settlement affect my credit?

When a debt is settled, creditors will generally report the account as "paid as agreed" or "paid in full" to the credit bureaus. Delinquency notifications may still appear on your file when the debts are paid, however once all of your debts have been settled, you can begin to rebuild your credit. You are entitled by law to one free credit report annually from each of the three major credit reporting bureaus, and you should check these reports for errors every year.

Can First Choice Debt Resolution prevent me from being sued by my creditors?

Until your debt is paid your creditor retains the legal right to take you to court over the debt. Most creditors realize that legal action is costly and time consuming. If your account has already been assigned to a collection agency, the chances of being sued are slim and the chances of the creditor agreeing to a settlement increase.

Will First Choice Debt Resolution be able to stop interest and late fees from adding to my debt?

No debt settlement company can stop creditors from charging interest or fees on your account, but First Choice Debt Resolution can help you reduce the amount of your debt with each of your creditors. This usually saves the consumer more money than trying to lower interest rates or reduce fees.

Can First Choice Debt Resolution help me keep my house or my car?

Unfortunately, not. Debt relief programs can only help you with unsecured debts such as credit cards, personal loans or medical bills. First Choice Debt Resolution cannot help you with your car loan, your mortgage or your student loans.

How much does the Debt Settlement Program cost?

Our fees are based on various factors including the total amount of your debt and the length of your personalized debt settlement program. Please call us today for a a free evaluation and customized quote.