National Debt Relief ProgramDebt Settlement CompaniesWhen the bottom falls out financially, people need help and they need it fast. Being in such a vulnerable situation often makes you susceptible to offers that on the surface may seem good, but in the end leave you worse off than when you began. Debt settlement companies can help.The airwaves are filled with ads promising quick relief from debt, and guarantees of happy endings. But all too often, that relief comes at a cost not only to your pocketbook, but to your credit score.The NFCC encourages consumers to thoroughly investigate and understand any debt settlement or other resolution option before selecting it as a way out of their financial distress, and provides the following information to assist consumers when evaluating debt settlement companies:Debt settlement is a process through which your creditor agrees to accept less than t how to dispute credit report he full amount owed, yet considers the balance as paid. Debt settlement companies often advertise that they can negotiate reductions of 50 percent or more in the debt you owe. They then set up a repayment plan that typically takes between two and four years.Debt Settlement companies charge fees. Different settlement companies have different fee structures, but there are two basic approaches. In one model, the settlement company’s fee will be a percentage of your total debt. The fees in that model typically range from 13-20 percent. Another option the settlement company may offer is to base their fee on the amount of debt reduction they can negotiate.Some debt settlement companies require payment in advance. In other words, they collect a large part of their fee before beginning your case. Much of the money you initially deposit goes to pay the debt settlement company to satisfy its fees.