Why debt settlement is a good path to choose

What is debt settlement?

Debt settlement is also known as credit card debt negotiation or even debt reduction as a relatively recent way to deal with your debt problems. In a debt settlement program, by settling with a creditor, a customer may be able to settle their debts for less than the amounts they owe, and thus get rid of the debt much faster than simply paying off the debts. minima.

Debt settlement is a great solution for people who are overwhelmed with credit card debt. People may lower their debt payments or be able to pay only the minimum, or not make any payments on their credit cards. With the potential savings on debt payments in mind, it might be worth considering debt settlement when you find yourself in any of the above circumstances. However, as with any credit card debt solution, you will find potential drawbacks to debt settlement that should always be considered before signing up with any debt settlement company.

First, debt settlement could have an effect on your credit score. Second, two additional issues to consider before choosing debt settlement include 1) the possibility of legal action being taken through the creditor to collect the full balance, and 2) the possibility of creditors harassing you until you credit card debt is actually paid off.

How is debt settlement in Texas different?

Fortunately, if you are doing a debt settlement in Texas, these concerns may be lessened. Why is Texas debt settlement so preferable compared to many other states? The reason is that Texas offers very advantageous debtor laws and regulations that provide consumers with many rights, as well as rights with respect to delinquent unprotected business accounts such as health care bills, credit cards, possessions, and private financial loans. . Integrity Debt Solutions Texas is one of the leading Texas companies providing these services only to Texas residents. They are fully aligned with the Laws and Regulations that help their clients find debt relief in Texas.

Exactly how do state collection laws and regulations benefit debt settlement clients in Texas?

All of the terms offered fall short of federal law that says, “If your collection agency is collecting a debt, they are legally required to avoid contacting anyone when the consumer transmits a notice of abandonment and desist.” In addition, in addition to or by itself, a Power of Attorney notifying the collection company of third party accounts was filed to handle almost all communications with the creditor. Texas law requires it and never limits harassment through debt collectors, but also from the original creditor. In many cases, whenever a consumer falls behind in paying their debts and the debt is still collected through the original creditor (the financial institution that initially lent the cash or the medical facility that treated them, for example), then Your lender is actually willing, in addition to the right, to call the debtor daily to collect what corresponds to him. As a result, most debt settlement clients actually receive phone calls during the program, especially in the early stages when company accounts are being handled by the sole creditor rather than a collection organization.

However, there are legal rights through harassing phone calls for Texas customers. They must anticipate the calls in the program. That being said, the actual protection provided goes beyond most cases, giving the customer more rights, as well as remedies for the breaches created.

Also, please note that since Texas debt settlement companies are not lawyers, we cannot allow you to physically exercise your rights under these laws and regulations. Although all of us can certainly help direct you to essential resources so that you receive protection from creditor hassles, such as attorneys, who are focused on helping in these types of circumstances.

For Texas debt settlement clients, their wages and home are fully protected, giving the lender even more motivation to settle. Given the fact that creditors already have every motivation to settle with clients residing in states with less favorable debt laws, Texas debt settlement clients tend to be in an even stronger settlement position alongside with their own creditors. What exactly does this imply? Typically this means greater security in the actual case associated with a lawsuit and greater savings than exactly what is really standard.

Although most credit card balances will be negotiable, some business accounts will not. And as a result, some lenders will choose to take legal action rather than collect the actual debt. After all, creditors always reserve the right to sue borrowers and collect the previous balance on the accounts, regardless of whether the customer is taking any steps to resolve the outstanding debt.

How Courts Generally Handle Sentencing Procedures

In the event that a lender sues a consumer in court and wins a judgment, they will generally proceed with the actual judgment in one of the following ways:

1) Wage Garnishment – ​​Contacting your own employer and requesting that these individuals pay a percentage associated with their own earnings on each paycheck until the credit card debt is paid in full. (It’s illegal for an employer to fire a person for this, unless, of course, more than one lender is garnishing their earnings.)

2) Loan on your property – requires you to repay the lender along with any gains through the sale or even refinancing associated with the property. A creditor prefers to put the lien on your home as this generally increases its value. The actual proceeds from the sale of your home may end up being higher and therefore more likely to actually be paid.

3) Seizure of your financial institution account: contact your bank, show proof of judgment and request that the funds deposited in your name be debited.

There Are Specific Protections in Texas

Fortunately, Texas law protects borrowers from having their wages garnished (unless you authorize in writing that your lender allows it), as does Texas law that allows consumers 100 percent protection of the home in the event of a lien. (Note: this does not apply to tax liens, alimony, contractor liens or second homes, rental properties, etc.) One drawback, on the other hand, is that bank records are not exempt from state legal requirements.

In summary, this tends to be the main benefits for Texas debt settlement clients. When a person considers Texas state laws, debt settlement can make much more sense for credit card companies, credit card debt collection organizations, and most importantly, for the customer.

Keep in mind that legal cases are still possible even if you stay in Texas. However, Texans have the benefit of having the most tried, tested, and legal credit card debt settlement and elimination option in the United States today. Integrity Debt Solutions Texas has helped thousands of families benefit from our debt settlement program.