Debt Advisors of America is a debt consolidation company that offers its clients the opportunity to reduce their debts without obtaining a loan. The company’s approach involves negotiating and settling debts on behalf of its clients, and this could potentially result in a significant decrease in their monthly payments and savings. However, the question remains: Is Debt Advisors of America a scam or a legitimate company?
In this blog post, we will provide a comprehensive review of Debt Advisors of America, including its services, pricing, customer reviews, and whether it is a scam or not.
What is Debt Advisors of America?
Debt Advisors of America is a debt relief company that offers debt consolidation services, which may also be referred to as debt settlement or debt relief. The company’s approach to debt consolidation does not involve obtaining a loan, and its assessments strive to assist clients in decreasing their debts, avoiding the need to file for bankruptcy, and ultimately overcoming their burdensome financial obligations. The company may also direct people to Litigation Practice Group, as evidenced in a lawsuit. Debt Advisors of America has an alternate name, Debt Resolution Direct LLC, according to their BBB profile, which also indicates their establishment in 2018.
How Do Debt Advisors of America Work?
Debt Advisors of America works in three simple steps:
- Free Consultation: The company offers a free consultation where clients can spend some time conversing with their team and inquire about the functioning of their program. They can seek guidance from a qualified debt consultant about the debt restructuring program and evaluate if being referred to it is suitable for their needs.
- Evaluate Your Options: Once clients meet the necessary qualifications, the team will offer an estimation of the savings they can achieve through a debt restructuring program. If clients choose to proceed, a certified partner in debt consulting will customize a program designed specifically for them.
- Start Negotiations: Debt Advisors of America’s licensed partners possess years of expertise in bargaining with debtors. They utilize this proficiency to negotiate settlements on behalf of clients, with the aim of achieving the most advantageous outcomes from their debtors.
Pros and Cons of Debt Advisors of America
- They can help clients save money.
- Clients can be on a program with a fixed payment.
- This is a type of consolidation where clients cease making payments to their creditors and instead send a single payment to a designated bank account.
- If clients have late payments on their accounts, it is possible that they may face legal action for unpaid debts.
- Clients’ credit scores could be adversely impacted.
- If clients are considered to be tax solvent, it is possible that there could some consequences.
It is important to note that the notice sent out by the company failed to tackle any of these cons.
How Much Does Debt Advisors of America Charge?
By using the services of a debt consolidation firm like Debt Advisors of America, clients might be charged a fee that is determined by the amount of debt they have enrolled. For instance, if clients have $50,000 of debt enrolled in a consolidation program, their fee could be 15% of their enrolled debt. However, certain companies are not transparent about their charges. To illustrate, the agent may claim that the fee is already covered by the scheme. If clients have already obtained a quote from Debt Advisors of America, they may want to compare it with an estimated quote from another source to assess whether it is affordable.
How to Qualify for Debt Advisors of America
To qualify for Debt Advisors of America, clients must meet the following requirements:
- They have a minimum of $10,000 in debt.
- They have unsecured debt.
- They can afford to make monthly payments.
Debt Advisors of America Customer Reviews
To aid in the decision-making process, it is important to take into account customer reviews of Debt Advisors of America. The reviews will help to provide insight into the company’s services and whether it is a scam or not.
The company has a rating of 4.67 out of 5 stars, based on 259 reviews, as per the Better Business Bureau (BBB). However, there have been 20 complaints against them in the last 3 years, with 11 of them being closed in the last 12 months.
One of the Debt Advisors of America’s positive reviews praised the company for its clear explanations and recommendation-worthy service, while another review noted their effectiveness in handling the process. However, one of the most recent Debt Advisors of America reviews was provided by Jennifer, who reported a significant drop in her credit score from the high 600s to below 490. She also expressed disappointment in the fact that despite being promised a resolution within 6 months, no action had been taken.
Does Debt Advisors of America offer any guarantees for their services?
The company does not offer any guarantees for their services. However, they do provide a satisfaction guarantee, which means that clients can cancel their enrollment in the program at any time for any reason and receive a full refund of their fees.
What types of debt can Debt Advisors of America help with?
Its services are designed to help clients with unsecured debt, such as credit card balances, medical expenses, and payday loans. However, they cannot offer debt settlement for secured debts such as those secured by student loans, or those that have collateral, such as mortgages and car loans.
How long does it take for Debt Advisors of America to settle clients’ debts?
The length of time it takes for Debt Advisors of America to settle clients’ debts depends on various factors, such as the amount of debt, the number of creditors, and the client’s ability to make monthly payments. Debt Advisors of America cannot provide an exact timeline for debt settlement, but they work to negotiate and settle debts as quickly as possible.
Can clients still use their credit cards while enrolled in the debt settlement program?
Clients cannot use their credit cards while enrolled in Debt Advisors of America’s program. The company’s approach involves ceasing payments to creditors and instead sending a single payment to a designated bank account. Clients are advised to stop using their credit cards and to avoid taking on any new debt while enrolled in the program.
What happens if clients decide to leave the debt consolidation program?
If clients decide to leave Debt Advisors of America’s program, they can cancel their enrollment at any time for any reason and receive a full refund of their fees. However, clients should be aware that canceling their enrollment could result in the loss of any progress made in settling their debts, and they may need to find an alternative solution to their debt problems.
How does Debt Advisors of America’s approach differ from other debt relief organizations?
Debt Advisors of America’s approach to debt relief differs from other organizations in that they do not offer loans to pay off debts. Instead, their approach involves negotiating and settling debts on behalf of their clients. This can result in a significant decrease in clients’ monthly payments and savings. Additionally, Debt Advisors of America’s licensed partners possess years of expertise in bargaining with debtors. They utilize this proficiency to negotiate settlements on behalf of clients, with the aim of achieving the most advantageous outcomes from their debtors.
How do Debt Advisors of America protect clients’ personal information?
Debt Advisors of America takes the protection of their client’s personal information seriously. They use industry-standard encryption and other security measures to protect client’s information from unauthorized access or disclosure. Additionally, they only collect information that is necessary to provide their services and do not share or sell clients’ information to third parties.
Can clients be sued by creditors while enrolled in Debt Advisors of America’s program?
While enrolled in Debt Advisors of America’s program, clients may be subject to legal action by their creditors. Debt Advisors of America cannot guarantee that clients will not be sued by their creditors, but they work to negotiate and settle debts as quickly as possible to avoid legal action.
How long has Debt Advisors of America been in business?
Debt Advisors of America has been in business since 2018. While they are a relatively new company, they have received some favorable feedback and have a BBB page, which suggests that they are a legitimate organization.
Does Debt Advisors of America offer any resources or tools to help clients manage their debts?
Debt Advisors of America offers various resources and tools to help clients manage their debts. They provide free consultations with qualified debt consultants to help clients evaluate their debt relief options. Additionally, they offer debt calculators and other resources on their website to help clients understand their debts and create a plan to overcome them.
To conclude, Debt Advisors of America is a legitimate company that has been operating for more than four years. They have a BBB page, received some favorable feedback, and offer debt consolidation services that could potentially help clients reduce their debts without obtaining a loan. The company’s approach involves negotiating and settling debts on behalf of its clients, and this could result in a significant decrease in their monthly payments and savings.
However, it is important to take into account the drawbacks of debt settlement and thoroughly assess them before enrolling with a debt relief organization. Additionally, the company has received complaints in the past, and some customers have reported negative experiences with their services.
Therefore, it is recommended that clients thoroughly research Debt Advisors of America and compare its services and pricing with other debt consolidation companies before enrolling in their program. Clients should also read customer reviews carefully and ask for transparency on fees and potential consequences before signing up for their services. Overall, Debt Advisors of America is not a scam, but clients should exercise caution and make informed decisions when choosing a debt consolidation company.