Debt can be overwhelming and stressful, leaving people feeling trapped and unsure of how to move forward. It is not surprising that many people turn to debt relief companies like Citizens Debt Relief to help them navigate their financial troubles. However, with so many scams out there, it is important to conduct thorough research before entrusting a company with your finances. In this Citizens Debt Relief review, we will examine the company, its services, and its legitimacy to help you make an informed decision about whether or not to use its services.
- BBB A+ Rating & Accredited
- $1 Billion Million Debt Resolved
- $10,000 Minimum Debt
What is Citizens Debt Relief?
Citizens Debt Relief is a debt resolution company that works with your creditors to settle your debts for less than what you owe so you can establish financial freedom. The company was founded in 2017 and is based in New York, NY. It is not accredited by the Better Business Bureau but has an A+ rating. In addition, the company is a member of American Fair Credit Council.
How does Citizens Debt Relief work?
When you sign up for Citizens Debt Relief’s services, the company sets up a savings account for you, to which you make monthly deposits. The company’s debt negotiators then work with your creditors to reduce your unsecured debt balance. Once an amount is reached that is acceptable to both you and your creditors, the funds in your savings account are used to pay off your creditors, and your debts are resolved. However, as a debt resolution company, Citizens Debt Relief cannot guarantee how much your debts will be lowered or that you will be debt-free within a specific timeframe.
How to qualify for Citizens Debt Relief?
To be eligible for Citizens Debt Relief’s debt reduction program, you must have at least $10,000 in unsecured debt, which can include credit card debt, medical bills, student loans, and more. You must also have a steady income and be a US citizen or legal resident alien with a Social Security Number. Call the client service team for more information.
How long does it take for debts to be resolved?
The time it takes to complete Citizens Debt Relief’s debt resolution program depends on how much you owe and how much you can pay toward the program each month. Most clients can complete the program within 2 to 4 years, and most see their first settlement between the third and seventh month.
How do you pay back Citizens Debt Relief?
As a client of Citizens Debt Relief, you are set up with an FDIC-insured savings account that is used to pay your creditors. This account is maintained in your name and can only be accessed with your authorization.
What happens if you don’t pay Citizens Debt Relief?
If you cannot make a payment for one month, you must notify Citizens Debt Relief at least five business days in advance. However, falling behind on payments can have serious consequences for your credit health, and your creditors can sue you if you fail to pay the collection agency or if they do not agree to the terms of the settlement offer.
How does Citizens Debt Relief affect your credit?
Using Citizens Debt Relief’s services can adversely affect your creditworthiness and result in collection efforts or even a lawsuit from creditors. The amount you owe may also increase due to late fees and accrued interest. If you settle, your account will not be removed from your credit report immediately. Depending on whether you have any late payments, the account can remain on your credit report for up to seven years.
Citizens Debt Relief BBB Reviews
Citizens Debt Relief has an A+ rating on the Better Business Bureau website, but it is not accredited by the BBB. The company has an average of 14 customer reviews and 16 complaints closed in the last three years. While some customers claim to have successfully resolved their debts with the help of Citizens Debt Relief, others express dissatisfaction with the company’s services. It is important to read as many customer reviews as possible before deciding whether or not to use their services.
FAQs
Is Citizens Debt Relief a good option for people with large amounts of debt, or does it perpetuate a cycle of debt and financial insecurity?
Citizens Debt Relief may be a good option for some people with large amounts of debt, as it can help them settle their debts for less than what is owed. However, it is important to consider the potential risks and drawbacks of using debt resolution services, such as the impact on credit scores and the potential for collection efforts and lawsuits from creditors. Debt resolution may not be the best option for everyone, and it is important to research all available options and speak with a certified financial counselor to determine the best course of action for your individual situation.
Does Citizens Debt Relief unfairly target vulnerable and desperate people who are struggling with debt, by offering them an easy way out that may not be in their best financial interest?
Debt resolution companies like Citizens Debt Relief may target vulnerable and desperate people who are struggling with debt, as these individuals may be more likely to seek out quick and easy solutions. However, it is important to note that debt resolution is not a one-size-fits-all solution, and it may not be the best option for everyone. It is important to research all available options and speak with a certified financial counselor to determine the best course of action for your individual situation.
Are the fees charged by Citizens Debt Relief reasonable, or do they take advantage of people in difficult financial situations by charging excessive fees?
The fees charged by debt resolution companies like Citizens Debt Relief can vary, and it is important to carefully review the terms and conditions of any agreement before signing up for services. While some fees may be necessary to cover administrative costs and negotiate with creditors, it is important to be wary of companies that charge excessive fees or make unrealistic promises.
Does Citizens Debt Relief do enough to educate its clients about the potential risks and negative consequences of using debt resolution services, such as the impact on credit scores and the potential for collection efforts and lawsuits from creditors?
Debt resolution companies like Citizens Debt Relief should do more to educate their clients about the potential risks and negative consequences of using debt resolution services. While debt resolution can be an effective way to settle debts, it is important for clients to understand the potential impact on credit scores and the potential for collection efforts and lawsuits from creditors. Companies should provide clear and transparent information about the risks and drawbacks of using their services, and they should encourage clients to research all available options before making a decision.
Does the debt resolution industry, including companies like Citizens Debt Relief, contribute to the overall problem of consumer debt by providing a solution that allows people to avoid taking responsibility for their debts?
The debt resolution industry, including companies like Citizens Debt Relief, may contribute to the overall problem of consumer debt by providing a solution that allows people to avoid taking responsibility for their debts. While debt resolution can be an effective way to settle debts, it is important to consider the potential risks and drawbacks of using these services. Companies should focus on providing education and resources to help clients manage their debts in a responsible and sustainable way, rather than simply offering a quick fix.
Should the government regulate the debt resolution industry more closely, in order to protect vulnerable consumers from companies that engage in unethical practices or charge excessive fees?
There is a case to be made for increased regulation of the debt resolution industry, in order to protect vulnerable consumers from companies that engage in unethical practices or charge excessive fees. While some debt resolution companies operate ethically and provide a valuable service, others may take advantage of vulnerable consumers and perpetuate the cycle of debt. Increased regulation and oversight could help to ensure that all companies operate fairly and transparently.
Does the Better Business Bureau provide sufficient oversight of debt resolution companies like Citizens Debt Relief, or does it fail to adequately protect consumers from unethical practices?
The Better Business Bureau (BBB) provides some level of oversight of debt resolution companies like Citizens Debt Relief, but it is not a regulatory agency and cannot enforce laws or regulations. While the BBB does provide a platform for consumers to report complaints and review companies, it is important for consumers to also do their own research and due diligence before signing up for any services. It is also important to note that accreditation by the BBB is not necessary for a company to be reputable or provide quality services.
Does Citizens Debt Relief have a responsibility to provide refunds or compensation to clients who are dissatisfied with their services, or is it up to the client to bear the consequences of their decision to use debt resolution services?
Citizens Debt Relief has a responsibility to provide quality services to its clients and to operate ethically and transparently. If a client is dissatisfied with the services provided by Citizens Debt Relief, the company should make a good faith effort to address their concerns and provide a satisfactory resolution. However, it is also important for clients to understand the potential risks and drawbacks of using debt resolution services and to take responsibility for their decision to use these services.
Does Citizens Debt Relief have a positive or negative impact on the overall economy, and does its business model contribute to or detract from the financial stability of individuals and society as a whole?
The impact of Citizens Debt Relief on the overall economy is difficult to assess, as the debt resolution industry is just one piece of the larger financial landscape. While debt resolution can be an effective way for individuals to settle their debts and regain financial stability, it is important to consider the potential negative consequences, such as the impact on credit scores and the potential for collection efforts and lawsuits from creditors. Companies like Citizens Debt Relief should focus on providing education and resources to help clients manage their debts in a responsible and sustainable way, rather than simply offering a quick fix.
Should individuals and society as a whole prioritize paying off debts, or should we focus on other priorities such as investing in education, healthcare, and social welfare programs?
Paying off debts is an important priority for individuals, as it can help to improve financial stability and provide greater freedom and flexibility in the long term. However, it is also important to prioritize investments in education, healthcare, and social welfare programs, as these can help to address underlying issues of inequality and poverty that contribute to financial insecurity and debt. It is important to strike a balance between paying off debts and investing in the broader social and economic systems that support individuals and society as a whole.
Debt Relief legit or a scam?
Based on the information we have gathered, Citizens Debt Relief appears to be a legitimate company that offers debt resolution services to its clients. The company has been in business for over four years, has an A+ rating on the Better Business Bureau website, and has helped many people resolve their debts.
However, it is important to note that using a debt resolution company like Citizens Debt Relief is not a one-size-fits-all solution for everyone. The company cannot guarantee that your debts will be lowered, and using their services can negatively impact your creditworthiness, leading to collection efforts and even lawsuits from creditors.
Additionally, not all debts are eligible for enrollment, and the program is not available in all states. Various factors, including saving enough money, can prevent clients from completing the program. Therefore, it is crucial to conduct thorough research and speak with a certified financial counselor before opting for any debt relief program.
Complaints about Citizens Debt Relief’s services are fairly typical in any financial services business, and it is impossible to please everybody all the time. However, if you are considering using their services, it is important to read customer reviews and do your research to ensure that the company is the right fit for your needs.
Conclusion
In conclusion, Citizens Debt Relief is a legitimate company that offers debt resolution services to its clients. The company has been in business for over four years, has an A+ rating on the Better Business Bureau website, and has helped many people resolve their debts.
However, it is important to note that using a debt resolution company like Citizens Debt Relief is not a one-size-fits-all solution for everyone. The company cannot guarantee that your debts will be lowered, and using their services can negatively impact your creditworthiness, leading to collection efforts and even lawsuits from creditors.
Therefore, it is crucial to conduct thorough research and speak with a certified financial counselor before opting for any debt relief program. If you are struggling with debt, there are other options available, such as debt consolidation or credit counseling, that may be a better fit for your needs.
In summary, while Citizens Debt Relief may be a legitimate company, it is important to carefully consider all options and seek expert advice before making any decisions regarding your finances.
