Being in debt can cause serious anxiety and worrying about being scammed when seeking debt relief help can only intensify this stress.
Unsolicited offers to help you cut down or wipe out your debt might sound like the perfect solution, but deceitful debt relief companies can easily take your money and run, leaving you empty handed.
According to the Federal Trade Commission, “debt relief service scams target consumers with significant credit card debt by falsely promising to negotiate with their creditors to settle or otherwise reduce consumers’ repayment obligations. These operations often charge cash-strapped consumers a large up-front fee, but then fail to help them settle or lower their debts – if they provide any service at all.
Credit repair scams also frequently target financially distressed consumers who are having credit problems. These operations lure consumers to purchase their services by falsely claiming that they will remove negative information from consumers’ credit reports even if that information is accurate.”
When seeking help from debt, follow these steps to avoid scammers:
- Never pay large, upfront fees for credit repair services.
- Do not share your financial and/or personal information with someone who solicits you via phone call or text message.
- Avoid anyone who promises you results from a “new government program”, or “grant”
To learn more about scams, including debt relief and credit repair scams, visit the Federal Trade Commission’s website at ftc.gov/debt, or call your local Area Agency on Aging at (866) 468-7887 to navigate resources in your area.
