Credit card debt and credit card debt settlement deals are two hot topics these days.
We see every other person talking about these hot issues.
It is because of many reasons.
For example recession has left people helpless in huge pools of debts and they want to get rid of their huge debts.
Moreover recent laws introduced by the government have made these programs more favorable for the debtors in all respects.
There was a time when people were afraid of these debt settlement deeds and they turned to bankruptcy.
It is because some illegal companies also got registration in the settlement industry.
They used to charge huge fee from the people and afterwards used to inform them that lenders are not ready to give discount.
Moreover, that they will not be getting any kind of reduction and they will have to pay the entire outstanding amount.
But after implementation of new laws now this method has become more secured and reliable for the debtors.
According to these new laws collection of any upfront fee will be considered to be illegal.
In other words all the settlement firms are prohibited from charging any advance fee.
They can not ask debtor to pay any kind of fee as long as they don't get reduction for the debtor.
It is due to this new law that fraudulent companies have been flushed out of the settlement industry.
Now only true and legitimate companies are working in the settlement industry and are helping people who are in the pools of debt.
Moreover if a person does not feel satisfied with the services of a settlement firm then it can leave the company at once without paying even a single penny.
In addition to all this, new rules also help a person in finding out whether the company is true or fake.
In case a settlement firm asks for upfront fee, then it is not a true company and vice versa.
Overall it can be said that after implementation of new laws introduced by the government, now people can file for settlement of their debt without fear of being cheated.