7 credit card debt forgiveness red flags to watch for

Credit card debt can be overwhelming, especially in today’s high-rate credit card environment. With the average credit card rate sitting at an all-time high — and retail credit card rates averaging over 30% — it doesn’t take much for what should be a manageable balance to balloon out of control. That’s why so many people seek out debt forgiveness programs, which are offered by debt relief companies and have the goal of working with your creditors to reduce your total debt.

The idea of settling your credit card debt for less than what you owe can feel like an attractive solution, and in some cases, it can be, but it also comes with risks. For example, it’s not unusual for scammers to prey on those in financial distress, promising quick fixes and unrealistic results. These scams not only fail to resolve your debt but can also add to your financial burden.

Given the risks, it’s important to be able to distinguish between trustworthy companies and those that will take advantage of your situation. That way, you can avoid falling victim to these types of scams.

 

continue reading »