Once the settlement is completed, the credit card company will report it to the credit bureaus, which will then make a notation on your credit report that that account was paid by settlement. That's going to signal to future lenders that you left the last guy hanging. That's why, as with bankruptcy, debt settlement is an extreme option, one you shouldn't take lightly. It's not just an easy, cheap way to eliminate debt.
Jean ChatzkyYou won't be caught off guard and you won't feel guilty, because you'll be spending money that you've allocated for the occasion.
Jean ChatzkyWhen you default on a secured debt, the creditor takes the asset that backs up that debt. When you convert credit card debt to mortgage debt, you are securing that credit card debt with your home. That's a risky proposition.
Jean ChatzkyYou can have a do-over starting today. But you have to get over the feeling that it's too late
Jean Chatzky