F.A.Q.'S When does Liberty Debt Relief begin to settle my debt? If I miss a monthly payment to LDR, will I be dropped from your program? How do I find out the progress of my debt settlement? My income can fluctuate from month to month. Can I still participate in your program? Will I continue to receive calls from my creditors? Will my creditors continue to send me mail? How will enrolling in your program affect my credit rating? Can I settle my debts on my own? Who do I call if I have a question about the program or a problem with a creditor? Do I have to include all of my creditors in the program? How long will it take for me to become debt free? How much does it cost? What if my creditors won’t settle? Can LDR stop late fees and interest from accruing on my account? Can the creditors pursue legal action against me? 1. When does Liberty Debt Relief begin to settle my debt? LDR starts the negotiation process after you have accumulated enough funds in your debt settlement savings fund to make reasonable offers to your creditors. top of page 2. If I miss a monthly payment to LDR, will I be dropped from your program? No. Simply call our customer service department and we will arrange for you to make a payment over the phone. We understand that there will be times when unforeseen events arise and we want to work with you. top of page 3. How do I find out the progress of my debt settlement? You may contact your assigned account manger via phone or email to get information on your account status. We will return any request for information within 24 hours. top of page 4. My income can fluctuate from month to month. Can I still participate in your program? Yes. Each clients payment arrangements are based on their specific set of circumstances. top of page 5. Will I continue to receive calls from my creditors? Upon your enrollment we will provide you with specific instructions you can use in order to minimize future creditor communications. You will be provided with a creditor call log which you will use to record any creditor call attempts. This call log will help us to minimize creditor phone communication. You are requested to stop using credit while enrolled in the program. top of page 6. Will my creditors continue to send me mail? Your creditors are allowed to contact you via mail. Upon receipt of any creditor correspondence you will immediately contact Liberty Debt Relief to report the incident. We will make every attempt to redirect your creditor correspondence to our office in an effort to minimize creditor communications. top of page 7. How will enrolling in your program affect my credit rating? Your credit score will be negatively affected upon entering this program. How much it will decline will depend on your original circumstances. If you are already delinquent on your accounts, a debt settlement program may not have much of an effect on your credit rating since the accounts are already reporting as derogatory accounts. If your accounts are still in good standing, debt settlement will have a temporary negative effect on your credit score. After all of your debts have been settled and paid, your credit score should begin to improve since the negative items have been resolved. In addition, your debt-to-income ratio (an important measurement made by potential lenders that is not always directly reflected in your credit score)will greatly improve, since you will now be debt free. A high credit score is desirable to have, but if you are facing a financial hardship and are unable to pay your accounts you first priority should be to clear your delinquent debts and get back on your feet financially. top of page 8. Can I settle my debts on my own? Yes, however it takes a skilled negotiator with years of debt settlement experience to get the best possible settlement on your debt. Creditors are also highly reluctant to negotiating directly with the consumer. LDR has longstanding relationships with each creditor, in addition LDR has the added advantage of being able to present the creditor with several debts at once. This wholesale approach to debt settlement results in better settlements and saves you the headache and stress of trying to accomplish this task on your own. top of page 9. Who do I call if I have a question about the program or a problem with a creditor? You may contact your account manger at anytime to discuss any concerns or problems. top of page 10. Do I have to include all of my creditors in the program? No. We suggest that you keep one open credit card for emergency purposes only. Any accounts that are enrolled in the program will be closed immediately and may no longer be used. top of page 11. How long will it take for me to become debt free? Most clients become debt free within 12 - 36 months. Your ability to save each month determines how long you will be enrolled in the program. Depending on your specific situation it can be much sooner. top of page 12. How much does it cost? Our "Debt Reduction Program" costs are based on a client by client basis and are determined by multiple factors including your total debt, your savings ability, and to whom you owe money to. Your monthly payment, which includes all program related costs, is determined by what you can comfortably afford, and is based upon your level of debt, income, and living expenses. top of page 13. What if my creditors won’t settle? There are very few circumstances where a creditor may not be willing to negotiate a settlement. The art of negotiation by definition is a process that will involve many offers and counteroffers, and in the majority of cases a settlement can and will be reached. Creditors realize that settling an account is in their best interest. They know if you file bankruptcy they will usually receive nothing in return. top of page 14. Can LDR stop late fees and interest from accruing on my account? LDR cannot stop a creditor from adding interest or late fees to an account. Keep in mind that your specific program takes into consideration any late fees and interest that may accrue and is built into the negotiation process. Because we negotiate your debt down to a fraction of what you owe, your overall savings will be far greater than any interest or late fees that could accrue. top of page 15. Can the creditors pursue legal action against me? Lawsuits are not common, but your creditors do reserve the right to pursue legal action to recover their money. The threat of lawsuits is a common tactic of aggressive creditors or collection agencies. Although they rarely occur, keep in mind that the purpose of a lawsuit is to force a settlement on the matter. In other words, the creditor is just trying to get paid. Accounts that have reached this stage can still be successfully negotiated, provided the client has sufficient funds at the time. Most creditors will agree to a payment plan in this type of situation. The worst case scenario is that a client might have to pay back the balance in full on that particular debt. top of page