1. How does your training seminar differ from all the other do-it-yourself debt-related eBooks,
books, or reports?
There are several important differences between my
Do-It-Yourself Debt Negotiation Training & Coaching
Program™ and competing do-it-yourself debt-related eBooks, books, or reports.
- Although the training seminar (Step One of the overall Program) covers all the available debt
program options quite thoroughly, it focuses on Debt Settlement as the most logical and flexible choice for
most consumers seeking to avoid bankruptcy. The course contains information you simply won't find anywhere
else.
- The author is a former executive in the debt industry, so the information
provided is truly from an insider's perspective.
- Much of the "do-it-yourself" material out there is really intended to
solicit new clients for enrollment into a third-party debt company program. In other
words, they provide enough information to get you interested in Debt Settlement as a
viable approach, but then encourage you to hire a professional firm to handle the negotiations.
- For learning these techniques and gaining the confidence necessary to
proceed, the recorded audio CD format is far
better than simple printed material, and far more convenient.
(You can listen to the CDs while commuting to work, during gym workouts, cleaning the house, etc.)
- Most importantly, my Do-It-Yourself Debt Negotiation Training & Coaching
Program™ simply blows away the competition when it comes to follow-up support.
The Enhanced Program
(only $397) comes with 12 months of unlimited personal email support. Tactics and
practices are constantly shifting in the debt industry, and every person's
situation is unique. From a practical perspective, entering into a do-it-yourself
debt settlement program without support from a knowledgeable professional is rather
like trying to learn how to pilot an airplane by reading a book. There is simply
no substitute for experience. With my Do-It-Yourself Debt Negotiation
Training & Coaching Program™, you get full disclosure on the do-it-yourself tactics and
techniques, PLUS professional advice, all for a small fraction of what it would
cost to hire a professional firm.
2. What is the difference between the Basic Program ($197) and the Enhanced Program ($397)?
The Enhanced Program includes
12 months of Unlimited Personal Email Coaching
plus Document Review Service.
Otherwise, the contents of the seminar kit are exactly the same between the two programs. The Basic Program is
offered for the benefit of those individuals who are truly strapped for cash, but
want to learn about the different debt options and how Debt Settlement works.
However, the Enhanced Program version is strongly recommended.
Read a detailed
explanation of the program and learn why this is the best and most affordable debt solution available.
3. What is the difference between the Enhanced Program ($397) and the Premium
Program ($777)?
The Enhanced Program includes 12 months of Unlimited Personal Email Coaching
and Document Review Service.
The Premium Program includes Coaching by
Telephone (as well as Email), with both Telephone Coaching and Document Review Services
extended to 24 months. The Telephone Coaching makes the Premium Program a great choice for people
who don't like to type on a keyboard or don't use email frequently.
4. Can I order the Basic Program now and upgrade to the Enhanced Program to get the coaching
later?
Yes, but the cost to upgrade to the Enhanced Program will be $300, in addition to the original $197
purchase price for the Basic Program. Instead, if you are on a tight budget,
a better choice would be to
split the cost of the Enhanced Program into two equal payments of $209 (which includes shipping
and handling). During the checkout process, just choose the 2-pay option for the Enhanced Program.
Your initial outlay will be just $209,
and the seminar kit will be shipped to you right away. You will also be entitled to receive
coaching immediately upon making the initial purchase. After thirty (30) days
you will be automatically billed the second payment of $209 via the same payment method (credit
card, debit card, or electronic check).
5. Can I order the Enhanced Program now and upgrade to the Premium Program later?
Yes, but the cost to upgrade to the Premium Program will be $500, in addition to the original $397
purchase price for the Enhanced Program. Instead,
a better choice would be to
split the cost of the Premium Program into two equal payments of $399 (which includes shipping
and handling). During the checkout process, just choose the 2-pay option for the Premium Program.
Your initial outlay will be $399,
and the seminar kit will be shipped to you right away. You will also be entitled to receive
coaching immediately upon making the initial purchase. After thirty (30) days
you will be automatically billed the second payment of $399 via the same payment method (credit
card, debit card, or electronic check).
6. How does Debt Settlement work?
Debt Settlement works by reducing the balance owed (principal) on your unsecured personal debt accounts
through the time-honored process of creditor negotiation. This is different from simply reducing the
interest rate as with Debt Consolidation and Credit Counseling, which do not affect the total debt
balance.
By reducing the debt balance itself, Debt Settlement provides a much
faster means of becoming debt-free. Most creditors are willing to accept 50%, 35%, sometimes
as low as 20% of the balance owed in order to close out an account rather than lose the entire amount
in a bankruptcy proceeding. From a business perspective, it is a matter of the creditor receiving something
rather than nothing, as would be the case in most bankruptcies. Of course, different creditors have
different policies, but as a rule, discounts of 50% or greater are routine in the industry. As a
consequence of this approach, money that was previously wasted on endless minimum payments (most of
which went toward interest charges) goes toward reducing the actual debt balance. That's why Debt
Settlement through negotiation is the fastest debt elimination method short of Chapter 7 bankruptcy.
7. Will the Debt Settlement strategy work for me?
While the Debt Settlement approach is not suitable for everyone, its flexible nature makes it applicable
to a wide range of financial circumstances. For individuals and families seeking an alternative to
bankruptcy, there is simply no better option to get out of debt. Here are a few guidelines to help
you determine whether or not Debt Settlement is something you should consider:
- Do you have a legitimate financial hardship condition?
Most debt problems are caused by loss of income, medical issues, or divorce/separation.
These are legitimate financial hardships that can happen to anyone through no fault of
their own, and any one of these situations can wreak havoc on a household budget. The
important point here is that the Debt Settlement system is not a "free lunch" for people
who don't feel like paying their bills. If you are over your
head due to a hardship circumstance, and you'd prefer to work things out with your
creditors rather than declare bankruptcy, then Debt Settlement can provide an honest and
ethical debt relief alternative.
- Are you committed to avoiding bankruptcy?
Debt Settlement is best viewed as a bankruptcy alternative, one that allows you to keep
control over the process and maintain privacy while working through your financial difficulties.
As with most things in life, success is determined by your level of commitment to staying the
course, even when the road gets a little bumpy. If you are likely to give up at the first rough
spot, then Debt Settlement is probably not the best choice for you. But if you
are determined to avoid bankruptcy, Debt Settlement will likely be the most attractive debt
solution for you.
- Are your debts primarily from credit cards?
Most types of unsecured debt can be negotiated, including medical bills, lines of credit,
signature loans, repossession deficiencies, financing contracts, department store cards,
miscellaneous bills and more. The deepest discounts, however, are usually obtained with
credit card debts. The results are far more predictable with credit card accounts than
with other types of obligation, so if the majority of your
debt load is comprised of credit card debt, you can anticipate good results from the Debt
Settlement strategy.
- Is your monthly budget up to the job?
With a Debt Settlement program, it's necessary to be realistic about your budget. If
you cannot build up funds for settlement at a reasonable pace, then the program becomes
less viable. A good rule of thumb is that you should be able to set aside roughly 2% of
your debt level on a monthly basis. So, for example, if you owe $30,000 in unsecured debt,
you should be able to consistently set aside $600 per month. This would allow for a program
of approximately three years’ duration. Budgets vary from month to month, so it's
possible to set aside 1% one month, and make up for it by setting aside 3% the following
month, so long as the average over time is around the 2% figure. This
built-in flexibility makes Debt Settlement an ideal approach for people whose monthly income
swings up and down because of overtime pay, seasonal cycles, or commission-based
income. But if you're funding the program consistently below the 2% monthly level,
the duration will stretch out to the point where you may become frustrated with the lack of
progress.
- Do you have additional resources to work with?
Debt Settlement can work very well if you have access to one-time lump sums. Small inheritances,
insurance settlements, cash-value life insurance policies, borrowing from friends and family,
ebay auctions, and even garage sales are a few of the alternate sources of funding that clients
have used in lieu of a monthly payment stream. So even if you can't
consistently fund the program on a monthly basis, if you have other resources to work with,
Debt Settlement can still help you become debt-free.
8. What happens to my credit?
Your credit score will decline during the program itself. How much it will
decline will depend on your original circumstances. Some of the accounts are likely
to "charge off," which will reflect negatively on your credit. However,
once a debt is settled, the settlement is reported to the credit bureaus.
Settled accounts are positive compared to unresolved delinquent debts or bankruptcy.
After all the debts have been settled, your credit score should begin to improve since the
negative items have been resolved. In addition, your debt-to-income ratio (an important
measurement made by potential lenders that is not directly reflected in your
credit "score") will greatly improve, since you will be debt-free. There are
also several useful techniques for self-repairing your credit later on. Of course, credit
is an important thing to have, but obviously your first priority should be to clear up your debts
and get back on your feet financially. Any way you look at it, the effects of Debt Settlement on
your credit will certainly be less damaging than the 10-year derogatory mark made by bankruptcy.
9. Are there any tax consequences?
Banks are required to report canceled debts exceeding $600 to the IRS and you are supposed to
report the same as income on your annual tax return. However, the IRS permits you to write off
any "income" from canceled debts up to the amount by which you were "insolvent" at the time.
So
unless you have a positive net worth, which is highly unlikely if
you're deep in debt, then you ordinarily won't have to pay taxes on the forgiven amounts.
You should consult your own tax advisor for advice specific to your situation. Either way,
if you owe tax it will be because you saved money off your debt balances, so you'll still
be ahead of the game.
10. What about creditor phone calls?
Creditor phone calls are an inevitable part of the collection process. Any debt firm (other
than a bankruptcy attorney) who says they can stop all creditor calls is misleading
you about the nature of their service. To begin with, it is a bad idea to refuse ALL telephone
communication from your creditors, since this could trigger an aggressive reaction. However,
you are entitled to your privacy and peace of mind as you work through your debt problems in
good faith with your creditors, and there are several simple techniques for achieving
this.
My Do-It-Yourself Debt Negotiation Training & Coaching
Program™ includes detailed instructions on how to reduce nuisance collection calls
to an absolute minimum without causing an adverse reaction by your creditors.
11. Can I be sued if I use this approach?
While creditors have the legal right to bring a lawsuit for non-payment of a debt obligation,
such lawsuits are far less common than most people think. It costs money to sue someone, and
a legal judgment is simply a piece of paper unless there is a way to collect money against it.
The threat of litigation, on the other hand, is all too common, even though debt collectors are
not supposed to threaten legal action unless they are specifically authorized to bring suit.
In general, lawsuits can normally be avoided, provided you are willing to work out suitable
arrangements with your creditors through the negotiation process.
Contrary
to popular belief, most creditors would rather work things out amicably in a negotiated settlement
than spend more money taking a customer to court (with no guarantee of being able to collect
on a judgment). That's why thousands of litigation-free settlements are transacted every month
all across the country. Creditors won't admit it publicly, but this method works much better for
them than forcing people into bankruptcy through overly aggressive collection techniques. The
worst-case scenario is that a client might be required to pay a debt balance in full in the event
of legal action by a creditor. This is little different from the starting situation most clients
find themselves in, and again, it is a fairly rare occurrence.
12. Can my wages be garnished?
If you listen to some debt collectors, you might be fooled into thinking that they will seize
your very next paycheck unless you make a payment right then and there. The threat of losing
part of your income to a garnishment action is truly frightening if you're already struggling
financially. But this is mainly an intimidation tactic used by collectors to scare people into
committing to a payment schedule whether or not they have the funds available.
Actual garnishment actions are relatively rare, and do not happen without advance warning.
Ordinarily, you will have plenty of time to react in order to avoid such an unpleasant result.
First, a creditor must bring a lawsuit, obtain a judgment, and then take an additional step to
obtain authorization for the garnishment. No one can take your paycheck without court approval,
and you must be given notice of such court action through formal documentation. Under a
worst-case scenario, you may need to negotiate a repayment plan on the full debt balance.
13. Will I still be able to use my credit cards?
No. Since the banks are giving up half or more of the money you owe, they will of course
discontinue your credit privileges. However,
you have the right
to maintain good standing on one or two cards with small credit lines for emergency and/or
identification purposes. This is another great benefit of the Debt Settlement technique
versus other methods, which take an all-or-nothing approach to debt elimination.
14. Are there debts that can't be settled using this approach?
Secured debts cannot be reduced via the Debt Settlement approach. This includes home loans,
second or third mortgages, equity lines of credit, auto loans, and financing contracts tied
to a specific piece of property that may be legally repossessed by the creditor. Federal student
loans, although unsecured, must also be excluded. In addition, you should seek professional
representation when dealing with Federal and State tax debts.
15. What if a creditor won't negotiate?
If a creditor refuses to accept a reasonable settlement offer at the time it is proposed,
it is usually simply a matter of waiting for a different phase of the
collection process. Some creditors are more inclined to play "hardball" than others,
but virtually all of the major institutions eventually sell their accounts to debt purchasers
in order to recover what they can on the account. Since the debt purchasers buy these accounts
for pennies on the dollar, they are more inclined to accept reasonable settlement offers,
which still represent profit on their purchases. My
Do-It-Yourself Debt Negotiation Training & Coaching
Program™ will teach you how to handle the different phases of the collection process and
how to time your offers to maximize your chances for success.
16. It sounds too good to be true. Is this really legal?
Definitely! This is America .
You have the legal right to haggle with
your own creditors. However, Debt Settlement is not a "free lunch." Once you negotiate
a settlement with one or more of your creditors, then it is up to you to make good on that
settlement arrangement. That's why it doesn't fall into the "too good to be true" category.
17. Why shouldn't I just hire a third-party company to negotiate on my behalf?
If you really don't feel up to the job, then of course you could consider
hiring a third-party Debt Settlement company to negotiate on your behalf. I recommend the
do-it-yourself approach, however, for several reasons: First,
you'll
save $1,000s in fees by negotiating your own debts. One chief selling point for
professional firms is that their contacts with creditors and collection agencies will result
in lower settlement percentages. But after you account for all those fees they charge,
you'll still come out ahead by doing it yourself. Second,
several of the major credit card banks react to the involvement of a third-party
negotiation firm with immediate legal action or hardball tactics.
Yet they will still settle directly with the customer. Finally, you can't just place
your debt problems in someone else's hands and expect everything to be handled for you.
You'll need to be involved anyway, so why not save all those fees and simply do the job
yourself? You know the old saying, "If you want something done right, do it
yourself."
My Do-It-Yourself Debt Negotiation Training & Coaching
Program™ will give you all the tools and tactics you need to get the job done right and save a
ton of money in the process.
Read a detailed explanation of the program and learn why this is the best and
most affordable debt solution available.
18. Will creditors still negotiate now that the new bankruptcy law is in effect?
Yes, it's still "business as usual" in the world of collections
and Debt Settlement even with the new bankruptcy law in effect.
Read about the effect
of the new bankruptcy law on Debt Settlement.
