I‘m a moderately cautious person. I don’t easily fall for too many tactics that involve "get rich quick" or "save you lots of money" schemes. Maybe it’s my cynical nature, or because of my youthful naivety (ask me about the car I paid full price for at age 22), that gets my "danger sensors" flaring.

That’s why I like to warn people when they’re heading into moderately dangerous territories, particularly when it involves paying too much for a worthless service. The NY Times has a great article on the "debt settlement" scam that’s been around since Adam (I’m sure Wikipedia or some other "scholarly" publication can find the evidence).

Let me share a personal story, if I may. Months prior to my wedding, I had racked up roughly $3,000 in stupid credit expenses. Not wanting to burden my new bride or this marriage with these financial problems, I quickly signed up with a (now defunct) debt "negotiation" company. The premise: I’d pay them monthly payments of roughly $250 to "negotiate" reductions of my credit card payments, while saving amounts each month to "pay off" the credit cards. In the bliss of ignorance (stupidity?) the concept seemed perfect. In reality, nothing changed. Promises that the interest would be reduced, the companies would quit calling, etc., all fumbled quickly away. Pretty soon, I had paid roughly $1000 (or 1/3 of the balances) and had nothing to show for it.

If you’re in this situation, get out immediately. STOP PAYING THIS BLOOD MONEY. Let me assure you that you can pay off these balances, or find reasonable alternate solutions, without wasting your money. The good news is, with the help of my wife, we manage to pay off the credit cards, a car (purchased at full price), and put ourselves through school (no student loans), without the help of these "debt rescue" companies. You too can do it!

Call our office for a quick review of your options: (405) 748-0318.

Hat tip: Dan Nunley