I am currently on a hardship program with Discover. They have reduced my payments by about 50% and reduced my interest about 12%, but did not reduce the amount i owe. My question is: Should I also ask them if they can also reduce the amount i owe? Has anyone ever had success with this? Can I continue making payments as well as asking them to reduce the amount i owe?
By signing up for counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the pay off amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.