Latitude-DS Debt Settlement Program

Latitude-DS DEBT SETTLEMENTDebt settlement is a perfectly legal solution for consumers who are in deep in debt and seeking an alternative to bankruptcy. If you're drowning in unpaid bills and desperately looking for a way out, debt settlement is a solution to get out of debt in 1 to 5 years versus 15 to 30 years of minimum payments to creditors, and saving thousands of dollars in interest fees.

Consumers in debt settlement can have a professional negotiator settle their debt for as little as thirty cents on the dollar.

Creditors will not negotiate with consumers who are current on their bills, often refusing to discuss settlements unless you're at least three to six months behind. That means dodging collections. If you are enrolled in a debt settlement program, creditor calls will stop.

We Can Settle:		We Cannot Settle:
Credit Cards • Unsecured Loans		Lawsuits, IRS Debt/Taxes, Home Loans
Unsecured Personal Lines of Credit		Utility Bills, Auto Loans, Secured Loans
Collections, Auto Repossessions		Student & Government Loans
Medical Bills		CashCall or PayDay Loans

HOW DOES DEBT SETTLEMENT WORK?

Debt settlement reduces your debt down to a fraction of what you currently owe. In its most simplistic form, debt settlement is designed to help you become debt free in as little as 12-48. You must be delinquent on your accounts by at least 30 days.

Once enrolled, you will stop paying your creditors and give limited power of attorney to the debt settlement company for your delinquent accounts. They will set up a repayment plan and you will deposit monthly payments into a trust account set up by the debt settlement company but controlled by you. Once enough money has been saved, usually in 4 to 6 months, the negotiator will start a settlement with one of your accounts, usually the biggest account.

Debt settlement is a lump sum payment to the creditor to satisfy the debt. However, you will not need the full lump sum to reach a settlement. A settlement can be reached with an agreed to amount in terms of a down payment to the creditor and monthly payments for a period of 4 to 9 months. These payments come from your trust account. The trust account banks are Noteworld, Global Client Solutions, or Rocky Mountain Bank & Trust, all FDIC insured.

PROS

Credit score drops: In a settlement program, you're asked to stop paying your creditors until you save enough to make a lump sum settlement. Moreover, you may settle your bills only after your accounts are charged off. Due to late payment or charge-offs, your credit score takes a hit.
You may owe taxes: Once you go for credit card settlement or settle other debts, creditors will forgive a percentage of what you owe. As such, the IRS may require you to pay taxes on this forgiven debt which is known as cancellation-of-debt (COD) income, unless you can prove insolvency.
Account status on credit report: Unless negotiated with creditors, the account status on your credit report will be updated as "Settled" which creates a negative impact on your score as compared to a "Paid in full" status.

If you have questions, call me and I'll be happy to assist you.

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