I applied for a loan from this company and have tried to make the minimum payment but my balance does not go down. They have a 96% interest rate, is this legal? I was aware of this when I took the loan, but at that time I was in desperate need of cash, and it is very tempting when they send you a letter telling you it is guaranteed that you will get the loan and very easy. Now I cannot seem to get rid of this loan, and it is up to 3900 on a 3000 loan i took.
By signing up a debt 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 payoff 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.