Consumer Credit Card Debt Relief - Why Creditors Will Make More Debt Settlement Deals In 2011

Online, January 10, 2011 (Newswire.com) - There are more consumers and small businesses in need of credit card debt relief today than there has ever been before. Many consumers simply cannot afford to pay back there credit card debt and are on the verge of filing bankruptcy. For those that are on the verge of bankruptcy it would make more financial sense to try and make a debt settlement deal before filing. Due to the massive amount of people experiencing a financial hardship, credit card companies are having no choice but to make debt settlement deals.

Creditors of unsecured debt such as credit card companies do not want you to file bankruptcy. They know that if you file and are accepted for bankruptcy, that they will likely receive little to none of their money back. Knowing this, if you are a legitimate candidate for bankruptcy they will be more than willing to negotiate a debt settlement deal and collect at least some of their money back. 50% of their money back is better than nothing.

Thanks to new credit card debt relief laws passed in October 2010, debt settlement has become a much better and less risky option for consumers. Now when someone enters into a debt settlement program they will not have to pay upfront fees. They only have to pay a fee if the debt settlement company is able to negotiate a successful settlement deal and eliminate at least 35% of your overall balance. So in other words, if they don't perform, you don't pay a single penny.

Debt settlement is a credit card debt relief option that is only intended for consumers going through an economic hardship. Most companies also require that you have at least $10,000 of unsecured debt to qualify. Considering the new federal laws in place it has become much less risky to get a debt settlement. On average, consumers can expect to eliminate around 40-50% of their unsecured debts while paying back the rest in monthly installments or one lump sum.

Debt settlement is not the only option for credit card debt relief. There is also debt consolidation and credit counseling. It would be wise to speak with a debt relief specialist before making any decision for debt relief. They will be able to go over all your options free and offer non-biased suggestions on what option is best for you.

Check out the following link for free debt help from a certified debt relief specialist:

Free Debt Relief Advice

Or Call: 800-933-8332