In my work, I only see the people who haven’t had successful experiences with debt relief agencies. I’m sure there are some people who have been able to avoid bankruptcy by using these companies. I guess the biggest thing for me is that many places tell you to stop paying the bills – but then the first payment they disburse is late – so more fees are added and you balance goes up. That’s what many people have told me anyway. I’ve also been told that it is up to the creditor to accept the terms – and that some creditors don’t. Credit card debt settlements will ruin your credit. The way the work is they contact a creditor and state you will agree to pay a percentage of the debt, meanwhile that settlement company will collect all the funds from you and won’t pay anything (you’re credit is now going bad) until the total settlement is paid. If you are having a hard time paying your regular bills, don’t go this route. You may want to check out CCCS. However, beware, either of these are going to hurt your credit. CCCS will work with your creditors to reduce your payment and rates, but they charge a fee to you included in your monthly payment to them. Also, any creditor will view this as a step prior to BK, so don’t expect to get any additional credit while on this plan. If you’re looking for any easy way out, this is not the way to go.
Instead call the creditors yourself, see if they will work with you on a rate reduction, which will reduce your payment. Pay the minimum on all credit cards except the one with the smallest balance, that one you will pay as much as possible till it’s paid off, then do that with the next one that has the smallest balance. good luck

self help may B best. IF U decide 2 seek help, check these websites;

US National BBB.org: BBB Accredited Business & Charity Directory (READ complaints area carefully)

Ripoff Report: By Consumers, For Consumers (search 4 businesses by name)There are two types of "debt relief" firms:

Credit counseling firms are non-profits that negotiate lower interest and payments from your creditors…They DO NOT negotiate settlements

Debt settlement firms take take a monthly amount from you and use that to build a “settlement” account, which will go towards paying the “settlement” at a certain date. Your creditors will deliberately not be paid to force your accounts into default so that they can negotiate 50% settlements…This is a risky and stressful process that ruins your credit rating. If you're lucky, all your cards will settle…If you're not…they may take you to court to get a judgement against you.
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Contact your local Red Cross for a referral to the local Consumer Credit Counseling Services (CCCS) in your area. They can negotiate much lower payments and interest rates. They DO NOT negotiate settlements.

They will require you to stop using all credit and to cut up your cards. Your credit report will be updated to "enrolled in debt management." This does not damage your credit, but it may make it impossible to obtain new credit while you are enrolled in their program….so don't use this service if you anticipate applying for a new apartment, car loan or mortgage anytime soon, as you would probably be denied while you're enrolled in the CCCS debt management program…. Otherwise, it can be a very good way to deal with your debt.

Please note that CCCS cannot perform miracles in situations where there is an overwhelming level of debt relative to your income/assets. Sometimes Chapter 7 bankruptcy is the only solution to overwhelming debt. Of course BK should be avoided if at all possible…but sometimes it is needed. Do what's best for you and your family. Corporate America uses BK all the time and no one slams them.

Just remember that you can only file for Chapter 7 once every eight years….so if you file, you won't be able to discharge your debts again for eight years, even if you find yourself in a worse financial situation..Debt relief is a frequent problem many citizens are now facing. Every legitimate debt relief service providers will consult with you for free. http://www.debtreliefreview.com Try visiting multiple debt relief services and inquire about your questions and compare thier answers. You will be able to tell which ones are providing shady advice.

Good Luck.

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