Credit Card Debt Settlement Act 2010 - How To Take Advantage Of New Credit Card Debt Relief Laws

Online, October 4, 2010 (Newswire.com) - The Credit Card Debt Settlement Act 2010 was recently passed by the FTC. This new legislation bans debt settlement companies from collecting upfront fees and also provides stricter regulations on disclosure requirements. Now consumers who enter into a debt settlement program will not have to pay a dime until their debts actually settle.

Getting a credit card debt settlement used to be a very risky decision for consumers seeking debt relief. However with these new laws the consumer's risk has been significantly mitigated. Now they are guaranteed that they won't have to pay a fee unless their debts are actually settled for an acceptable percentage. Therefore the risk has been shifted from the consumer to the debt relief company.

The Credit Card Debt Settlement Act 2010 will put an end to all the shady debt relief services. Only the legitimate debt settlement companies are able to survive. The companies which have a proven track record of legitimately settling consumers' debt balances will have enough confidence to collect their fees on the back end when the debts actually settle. The companies that have been collecting fees and provided no real service have already went out of business due to these new credit card debt relief laws.

For consumers who are experiencing a legitimate financial hardship and have at least $10,000 in unsecured debt, a debt settlement is the best option available especially with the new FTC laws. A legitimate debt relief company can negotiate with your lenders and settle for around 50% of the actual balance. 50% is just the average and results vary case by case but at the end of the day getting a debt settlement with these new laws in place is a better financial decision than filing bankruptcy.

The easiest way to locate legitimate debt settlement companies is to use a free debt relief network. These networks will ensure that the debt settlement company you are provided is legitimate and is a respected member of all the regulatory commissions such as The Association Of Settlement Companies and the BBB. Most free debt relief networks will provide a free debt consultation to help the consumer determine what debt relief option is most appropriate. There is no magic bullet to get out of debt however debt settlement can a good option for consumers who are experiencing financial hardship and have at least $10k in unsecured debts.

To locate legitimate debt settlement companies through a free debt relief network check out the following link: http://www.freedebtsettlementadvice.com