Debt settlement programs

     I recently had a new client tell me that they had been happy with their debt settlement program -- at least until Discover Bank had recently sued them and served a garnishment exemption notice.  In fairness, they had about ten credit cards, and all but two of them were working with the debt settlement company.
     This is not what I usually hear -- usually the client has sent six payments of $349.00 to the debt settlement company in Texas or California or wherever they are located -- and the client's home phone is now ringing off the wall with demands for payment and they are being sued by one or more of the credit card companies that the debt settlement program was supposed to settle.   When the client tries to get out of the program, since it not working for them, they find that almost every dollar they sent to the debt settlement program was consumed by fees and they do not get a refund.
     I suppose some debt settlement programs must work, or the companies could not stay in business.  But there are many horrible failures -- such as Allegro Law, which itself filed bankruptcy.
    My suggestion is that if you want to try to settle your debts without a bankruptcy, start with a legitimate consumer credit counseling agency, such as The Village or Lutheran Social Services.  Don't send your money to someone in Texas.  Use the fees you would otherwise have paid to the debt settlement company to actually settle your debts!